Investors Purchase Large Volume of Call Options on Macy’s (NYSE:M)

Macy’s, Inc. (NYSE:M) was the recipient of some unusual options trading on Monday. Stock traders acquired 42,968 call options on the company. This is an increase of 56% compared to the average daily volume of 27,492 call options.

Macy’s Stock Performance

Shares of M stock opened at $13.82 on Tuesday. The stock has a market cap of $3.84 billion, a PE ratio of 23.43 and a beta of 2.07. The stock has a 50-day moving average of $14.66 and a 200-day moving average of $15.38. The company has a debt-to-equity ratio of 0.67, a current ratio of 1.26 and a quick ratio of 0.17. Macy’s has a one year low of $12.60 and a one year high of $22.10.

Macy’s (NYSE:M) last issued its earnings results on Thursday, March 6th. The company reported $1.80 EPS for the quarter, beating the consensus estimate of $1.55 by $0.25. The firm had revenue of $7.77 billion during the quarter, compared to the consensus estimate of $7.76 billion. Macy’s had a net margin of 0.73% and a return on equity of 21.99%. As a group, sell-side analysts expect that Macy’s will post 2.39 earnings per share for the current year.

Macy’s Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, April 1st. Shareholders of record on Friday, March 14th will be issued a dividend of $0.1824 per share. The ex-dividend date is Friday, March 14th. This is a positive change from Macy’s’s previous quarterly dividend of $0.17. This represents a $0.73 annualized dividend and a yield of 5.28%. Macy’s’s payout ratio is currently 35.44%.

Institutional Investors Weigh In On Macy’s

Several large investors have recently modified their holdings of M. Coldstream Capital Management Inc. increased its position in shares of Macy’s by 4.9% during the fourth quarter. Coldstream Capital Management Inc. now owns 15,442 shares of the company’s stock worth $261,000 after acquiring an additional 717 shares in the last quarter. Treasurer of the State of North Carolina increased its holdings in Macy’s by 0.6% during the 4th quarter. Treasurer of the State of North Carolina now owns 120,414 shares of the company’s stock worth $2,039,000 after purchasing an additional 760 shares in the last quarter. Quantinno Capital Management LP raised its stake in shares of Macy’s by 0.9% in the 4th quarter. Quantinno Capital Management LP now owns 102,538 shares of the company’s stock valued at $1,736,000 after purchasing an additional 872 shares during the period. ProShare Advisors LLC lifted its holdings in shares of Macy’s by 7.7% in the fourth quarter. ProShare Advisors LLC now owns 12,978 shares of the company’s stock valued at $220,000 after purchasing an additional 924 shares in the last quarter. Finally, Arizona State Retirement System boosted its position in shares of Macy’s by 1.2% during the fourth quarter. Arizona State Retirement System now owns 80,549 shares of the company’s stock worth $1,364,000 after buying an additional 958 shares during the period. 87.36% of the stock is currently owned by institutional investors.

Wall Street Analyst Weigh In

A number of research analysts recently issued reports on M shares. Citigroup cut their price target on Macy’s from $16.00 to $14.00 and set a “neutral” rating for the company in a report on Friday, March 7th. Gordon Haskett lowered shares of Macy’s from an “accumulate” rating to a “hold” rating in a research report on Thursday, March 6th. Guggenheim reissued a “neutral” rating on shares of Macy’s in a report on Thursday, December 12th. Cowen reaffirmed a “hold” rating on shares of Macy’s in a report on Friday, March 7th. Finally, The Goldman Sachs Group lowered their target price on Macy’s from $19.00 to $17.00 and set a “buy” rating for the company in a research note on Friday, March 7th. One analyst has rated the stock with a sell rating, ten have given a hold rating, two have issued a buy rating and one has given a strong buy rating to the company’s stock. Based on data from MarketBeat, Macy’s presently has an average rating of “Hold” and an average target price of $15.56.

Macy’s Company Profile

Macy’s, Inc engages in the retail of apparel, accessories, cosmetics, home furnishings, and other consumer goods. The firm’s brands include Macy’s, Bloomingdale’s, and Bluemercury. It offers men’s, women’s, and children’s apparel, women’s accessories, intimate apparel, shoes, cosmetics, fragrances, as well as home and miscellaneous products.