M : NYSE : Services
$35.28 | %
Today's Range: 34.88 - 35.65
Avg. Daily Volume: 7,240,200
07/22/16 - 4:01 PM ET

Financial Analysis


MACY'S INC's gross profit margin for the first quarter of its fiscal year 2016 is essentially unchanged when compared to the same period a year ago. Sales and net income have dropped, underperforming the average competitor within its industry. MACY'S INC has very weak liquidity. Currently, the Quick Ratio is 0.22 which clearly shows a lack of ability to cover short-term cash needs. The company's liquidity decreased from the same period a year ago, despite already having very weak liquidity to begin with. This would indicate deteriorating cash flow.

During the same period, stockholders' equity ("net worth") has decreased by 20.22% from the same quarter last year. The key liquidity measurements indicate that the company is in a position in which financial difficulties could develop in the near future.

STOCKS TO BUY: TheStreet Quant Ratings has identified a handful of stocks that can potentially TRIPLE in the next 12-months. To learn more visit www.TheStreetRatings.com.



Income Statement Q1 FY16 Q1 FY15
Net Sales ($mil)5771.06232.0
EBITDA ($mil)549.0668.0
EBIT ($mil)289.0409.0
Net Income ($mil)116.0193.0


Balance Sheet Q1 FY16 Q1 FY15
Cash & Equiv. ($mil)734.01509.0
Total Assets ($mil)20198.021175.0
Total Debt ($mil)7632.07336.0
Equity ($mil)4154.05207.0


Profitability Q1 FY16 Q1 FY15
Gross Profit Margin39.0739.02
EBITDA Margin9.5110.71
Operating Margin5.016.56
Sales Turnover1.321.33
Return on Assets4.927.06
Return on Equity23.9528.71
Debt Q1 FY16 Q1 FY15
Current Ratio1.381.52
Debt/Capital0.650.58
Interest Expense99.095.0
Interest Coverage2.924.31


Share Data Q1 FY16 Q1 FY15
Shares outstanding (mil)308.4337.6
Div / share0.360.31
EPS0.370.56
Book value / share13.4715.42
Institutional Own % n/a n/a
Avg Daily Volume7183405.04474373.0

Valuation


HOLD. MACY'S INC's P/E ratio indicates a significant discount compared to an average of 22.96 for the Multiline Retail industry and a significant discount compared to the S&P 500 average of 25.05. To use another comparison, its price-to-book ratio of 2.63 indicates valuation on par with the S&P 500 average of 2.81 and a discount versus the industry average of 4.02. The current price-to-sales ratio is well below the S&P 500 average and is also below the industry average, indicating a discount. Upon assessment of these and other key valuation criteria, MACY'S INC proves to trade at a discount to investment alternatives within the industry.


Price/Earnings
1 2 3 4 5
premium   discount
  Price/Cash Flow
1 2 3 4 5
premium   discount
M 11.45 Peers 22.96   M 5.67 Peers 67.25

Discount. A lower P/E ratio than its peers can signify a less expensive stock or lower growth expectations.

M is trading at a significant discount to its peers.

 

Discount. The P/CF ratio, a stock’s price divided by the company's cash flow from operations, is useful for comparing companies with different capital requirements or financing structures.

M is trading at a significant discount to its peers.

 
Price/Projected
Earnings
1 2 3 4 5
premium   discount
  Price to
Earnings/Growth
1 2 3 4 5
premium   discount
M 10.44 Peers 25.37   M 12.31 Peers 2.62

Discount. A lower price-to-projected earnings ratio than its peers can signify a less expensive stock or lower future growth expectations.

M is trading at a significant discount to its peers.

 

Premium. The PEG ratio is the stock’s P/E divided by the consensus estimate of long-term earnings growth. Faster growth can justify higher price multiples.

M trades at a significant premium to its peers.

 
Price/Book
1 2 3 4 5
premium   discount
  Earnings Growth
1 2 3 4 5
lower   higher
M 2.63 Peers 4.02   M -26.72 Peers 5.45

Discount. A lower price-to-book ratio makes a stock more attractive to investors seeking stocks with lower market values per dollar of equity on the balance sheet.

M is trading at a significant discount to its peers.

 

Lower. Elevated earnings growth rates can lead to capital appreciation and justify higher price-to-earnings ratios.

However, M is expected to significantly trail its peers on the basis of its earnings growth rate.

 
Price/Sales
1 2 3 4 5
premium   discount
  Sales Growth
1 2 3 4 5
premium   discount
M 0.41 Peers 0.81   M -5.14 Peers 20.30

Discount. In the absence of P/E and P/B multiples, the price-to-sales ratio can display the value investors are placing on each dollar of sales.

M is trading at a significant discount to its industry on this measurement.

 

Lower. A sales growth rate that trails the industry implies that a company is losing market share.

M significantly trails its peers on the basis of sales growth

 

 

Latest Stock Upgrades/Downgrades