Macy's Says Consumers Are Having Financial Problems

Macy's is reporting a significant increase in the number of customers failing to make credit card payments, leading to a decrease in credit card revenue and raising concerns about the broader state of the US economy.

newser.com

Relevant topic timeline:

8/22/2023

Macy's had to discount spring goods to entice cautious consumers and sees more warning signs ahead

Macy's reports strong second-quarter profits and sales that beat Wall Street expectations, despite heavily discounting spring goods, citing uncertainty about the economy in the second half of the year and a rise in credit card delinquencies.

8/23/2023

Gloomy U.S. retail outlook dulls hopes of strong holiday season spending

Fresh signs of stress in U.S. consumer spending are emerging as retailers like Macy's and Foot Locker lower profit forecasts, indicating that middle-income Americans are spending less due to high living costs and existing card debt.

8/23/2023

Macy's big warning on credit cards a big problem for some other retailers

Macy's second quarter credit card sales declined due to high delinquencies and rising interest rates, highlighting the challenges facing US consumers and sending warnings to other retailers, causing investors in retail stocks to be cautious.

8/23/2023

Macy's sounds the alarm on credit card delinquencies

Macy's warns of a surge in delinquencies on credit card payments, signaling mounting financial stress on consumers.

8/24/2023

Macy's reports uptick in credit card delinquencies

Macy's credit card revenue has dropped by 36% due to an increase in delinquencies, reflecting the larger trend of rising credit card debt in the US as a result of inflation and higher interest rates.

8/24/2023

US department stores see higher credit delinquencies amid strained spending

Major U.S. department stores like Macy's and Nordstrom are experiencing delays in store credit card repayments, which pose a risk to revenues as consumers reduce discretionary spending ahead of the crucial holiday shopping season.

9/7/2023

Buy Macy's: It's A Covered Land Play In Disguise (NYSE:M)

The article mentions Macy's (NYSE:M) stock. The author's suggestion is to buy Macy's stock, as they believe it is undervalued and has the potential for growth in the future. The author's core argument is that Macy's stock is cheap based on conventional valuation metrics and that the company's real estate assets hold significant value. They believe that even if Macy's fails to turn its business around, investors can still achieve strong returns through the monetization of its real estate. The author also highlights Macy's solid profitability and cash flow generation. Key information and data mentioned in the article include Macy's stock falling more than 50% since the beginning of 2022, the challenges the company faces due to inflation and credit card delinquencies, Macy's projected decline in adjusted EPS for fiscal 2023, the company's reduced debt and strengthened balance sheet, the value of Macy's real estate portfolio, and the risks associated with the company's financials and real estate values.

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Posted 8/23/2023, 6:50:00 PM

Macy's Says Consumers Are Having Financial Problems

newser.com

Relevant topic timeline:

8/22/2023

Macy's had to discount spring goods to entice cautious consumers and sees more warning signs ahead

8/23/2023

Gloomy U.S. retail outlook dulls hopes of strong holiday season spending

8/23/2023

Macy's big warning on credit cards a big problem for some other retailers

8/23/2023

Macy's sounds the alarm on credit card delinquencies

Macy's warns of a surge in delinquencies on credit card payments, signaling mounting financial stress on consumers.

8/24/2023

Macy's reports uptick in credit card delinquencies

Macy's credit card revenue has dropped by 36% due to an increase in delinquencies, reflecting the larger trend of rising credit card debt in the US as a result of inflation and higher interest rates.

8/24/2023

US department stores see higher credit delinquencies amid strained spending

9/7/2023

Buy Macy's: It's A Covered Land Play In Disguise (NYSE:M)