The problems that led Macy's  (M)  to lower its full-year earnings guidance are more a function of troubled times for department stores than a weakening consumer, said Mark Luschini, chief equity strategist for Janney Montgomery Scott.
 
"These big box retailers have been struggling for a considerable period of time now," said Luschini. "They are trying to ramp up their online-related sales activity. It's improving, but it's not enough to overcome the problems they have and continue to staff and pay for these big boxes that nobody is walking into anymore."
 
Shares of Macy's plunged 13% Wednesday after it slashed its full-year outlook after a challenging start to the year. Macy's reported first-quarter sales fell 7.4% year over year to $5.77 billion, missing forecasts for $5.94 billion.
 
Same-store sales declined for the fifth straight quarter at the department store, falling 5.6% compared to estimates for a 3.8% decline. Earnings, adjusted for one-time items, came in at 40 cents a share, beating forecasts for 36 cents a share as the bottom line benefited from $130 million in share repurchases made by Macy's during the quarter. Shares outstanding fell 9.5% year over year as a result of the share repurchases, which had the effect of boosting per share earnings.
 
Luschini is far more positive on Pfizer  (PFE) , which recently backed off from a tax inversion deal with Allergan  (AGN)  and is now reportedly in talks to buy cancer drugmaker Medivation  (MDVN) . He said Pfizer is one of the cheapest pharmaceutical stocks in the market and it is "one that has pricing power".
 
He is also bullish on Halliburton  (HAL)  even after the U.S. government rejected its tie-up with fellow oil services provider Baker Hughes  (BHI) , calling Halliburton a "world-class organization" which will benefit from a recovery in oil prices.
 
Finally, Luschini is a fan of Chubb  (CB) , saying the insurer is a standout in the troubled but cheap property and casualty sector.