Sunday, May 22, 2016

Poor Macy's $M

Good store visit piece from BI:

"Herald Square is a hotbed of sweat, germs, filth, and tourists. It's like an ominous preview of what's to come."
Trump will have Macy's liquidated. Maybe we should short.

A correspondent writes,
Short Macy's, long tjmaxx. I wonder how the Nike / free people sections do compared to the others? Conclusion: "If your business depends on a healthy Middle Class then you are doomed"
Another correspondent writes,
Getting clogged with shop-worn, out-of-season merchandise that is so worn that it is unsaleable seems incompetent.
I used to mark down seasonal merchandise to make room for the next season's goods.
I could always figure out when to mark things down and how much to mark them down.
Some tweets about it:


Stagflationary Mark said...

Macy's does have one thing going for it.

If you look at the 10-year chart of Macy's, there's one heck of an exponential trend failure (2008 to 2015). It makes for good conversation.

You're talking about Macy's. I'm talking about Macy's. Before you know it, everyone will be talking about Macy's.

They say there's no such thing as bad publicity. Time to test the theory. ;)

Taylor Conant said...

I wonder how much of Macy's inventory issues are due to cheap credit (merchandise financing) combined with inflationary wholesaler channel stuffing?