The stock price of Macy’s Inc (M) has risen up by over 5% today till the late morning trading session. Since the beginning of this month, the stock price of Macy’s has gone up by over 30% and is still rising. The stock closed at $28.87 on Thursday.
The Ohio based company is an American holding company. It is the owner of department store chains Macy’s and Bloomingdale’s, which specialize in the sales of clothing, footwear, accessories, bedding, furniture, jewelry, beauty products, and house wares; and Bluemercury, a chain of luxury beauty products stores and spas. As of July 26, 2015, the company operated approximately 885 stores in the United States, Guam, and Puerto Rico; its namesake locations and related operations account for 90 percent of its revenue. According to Deloitte, Macy’s, Inc. is the world’s largest fashion goods retailer and the 36th largest retailer overall, based on the company’s reported 2010 retail sales revenue of $25 billion (equivalent to $27.1 billion in 2016).
Macy’s Inc. is updating its Maplewood Mall store to open a Macy’s Backstage store-in-a-store location. The outlet-like shop will carve out 18,500 square feet from the first level of the Maplewood Macy’s and will open March 24. Macy’s is billing the Backstage as a first for the Twin Cities market — except that the retailer already opened a smaller Backstage store at Rosedale Center in 2015. That location will be closed, a spokeswoman said.
Macy’s Backstage is intended to offer customers the sort of bargain-hunting experience that’s long been the model at stores like T.J. Maxx and Nordstrom Rack. Macy’s, like other department stores and retailers, has looked to differentiate its stores as e-commerce retailers like Amazon.com Inc. have sliced into the industry’s market share.
Macy’s Backstage offers an assortment ranging from fashion and home decor to jewelry and toys, but the items aren’t what you’d find at a typical Macy’s store. Macy’s Backstage is run by its own buying team who look for discounted merchandise from brands and manufacturers. The assortment is constantly changing in hopes of bringing customers back to “hunt” for products that are usually 20 to 80 percent cheaper than traditional department store prices, the company said. The company now has 52 Macy’s Backstage locations in the United States.
Our analysts have given a “HOLD” rating to Macy’s stock. Despite the fall in the past years, the stock has gone up this month and is expected to rise further. The current holders of this stock are advised not to sell it yet.