Macy's Inc (M) Stock Analysis
Verdict: WATCH (do not buy)
Macy's high 26% FCF yield and low 7.8x P/E cushion store footprint closures, but multi-year revenue decline limits upside.
Investment score: 58/100
Analysis as of
Is Macy's Inc stock worth reviewing? AI model thesis
The AI model rates Macy's Inc as a HOLD. While valuation metrics (7.82x P/E, 26.0% FCF yield) offer strong downside protection, persistent revenue contraction and $5.20B in total debt restrict immediate upside momentum.
7-factor investment score
- Valuation: 75/100 (weight 20%)
- Financial Health: 50/100 (weight 15%)
- Technical Momentum: 52/100 (weight 15%)
- Earnings Quality: 78/100 (weight 15%)
- Insider Sentiment: 30/100 (weight 10%)
- Analyst Consensus: 48/100 (weight 10%)
- Risk-Adjusted Return: 58/100 (weight 15%)
Macy's Inc opportunities and risks
What speaks for M
- Deep Discount Valuation & FCF Generation
What speaks against M
- Secular Top-Line Revenue Contraction
Peers and competitors
| Ticker | P/E | P/S | EV/EBITDA | Gross margin | Net margin | FCF yield |
|---|---|---|---|---|---|---|
| M | 7.8x | 0.3x | 4.7x | 36.0% | 3.3% | 26.0% |
| AMZN | 19.9x | 3.5x | 11.2x | 50.8% | 17.4% | -0.4% |
| EBAY | 22.1x | 4.0x | 17.6x | 72.5% | 18.5% | 5.0% |
| CPNG | n/a | 0.7x | 792.3x | 28.4% | -2.2% | 0.4% |
| DDS | 14.9x | 1.5x | 10.1x | 39.2% | 10.3% | 6.2% |
| ETSY | 34.5x | 2.4x | 16.3x | 72.3% | 7.3% | 8.9% |
| Peer median | 19.9x | 2.4x | 16.3x | 50.8% | 10.3% | 5.0% |
Frequently asked questions about Macy's Inc (M)
Is M stock a good investment?
The cached TradeMates AI model rates Macy's Inc as WATCH (do not buy) with an investment score of 58/100. The AI model rates Macy's Inc as a HOLD. While valuation metrics (7.82x P/E, 26.0% FCF yield) offer strong downside protection, persistent revenue contraction and $5.20B in total debt restrict immediate upside momentum. This is algorithmic model output, not personal investment advice.
Is M stock a buy?
The TradeMates model verdict for M is WATCH (do not buy) with an investment score of 58/100. Treat this as a model signal to review, not a personal buy recommendation.