- Macy's (M +1%) moves higher after Evercore ISI double upgrades shares to Long from Short, saying Wall Street's fears about a "retailpocalypse" stemming from the rise of Amazon (NASDAQ:AMZN) are overblown as classic retailers and brands are learning to adapt in a digital age.
- "Macy's and others will have equal opportunity in the coming years to compete for the attention of discretionary consumers given a core set of competitive advantages that are not going away," Evercore's Omar Saad writes.
- "Macy's has been implementing processes to improve inventory flow and management," Saad says. "These efforts are just starting to pay off, with inventory continuing to decline over the past year while retail gross margins held relatively steady and finally inflected to positive in the first quarter of 2018."
- The analyst raises his 2018 EPS estimate for Macy's to $3.15 from $2.95 and his 2019 EPS outlook to $3.40 from $3.10.
- Now read: Reviewing Macy's Q1 2018 Conference Call
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