Macy's Q4 EPS Beats by $0.11, Revenue Tops $7.6B, Flags Cautious Outlook
Macy's reported Q4 adjusted EPS of $1.67 versus $1.56 expected and revenue of $7.6B surpassing forecasts, with comparable sales up 1.8%. It guided fiscal 2026 revenue at $21.4B–$21.65B, issued conservative $1.90–$2.10 EPS outlook and cited tariff, gas price and geopolitical risks.
1. Q4 Financial Results
Macy's reported adjusted Q4 EPS of $1.67, surpassing consensus by 11 cents, and revenue of $7.6 billion, topping estimates. Comparable sales rose 1.8%, with Bloomingdale's posting a 9.9% increase, marking its strongest holiday performance on record.
2. 2026 Guidance and Outlook
Management projected fiscal 2026 revenue between $21.4 billion and $21.65 billion, exceeding the consensus midpoint, but issued a cautious EPS outlook of $1.90 to $2.10 that falls short of analyst forecasts. Executives cited tariff pressures, rising gas prices and geopolitical uncertainty as headwinds.
3. Stock Performance and Technicals
Shares climbed 6.6% following the earnings release, reclaiming the 200-day moving average after breaching it earlier. The stock has recovered from a low of $9.76, trading near $17.79 and remaining 35% above its level from a year ago.
4. Short Interest and Options Activity
Short interest stands at 24.01 million shares, representing 9.1% of float, despite an 8% decline over the past month. Options volume surged to 11,000 contracts in early trading, four times the average, led by March call activity expiring this Friday.