Macy’s Turnaround Gains Credibility as Q1 Beat Lifts Guidance

Macy's delivered a strong Q1 2026 with adjusted earnings of 13 cents per share (beating expectations of 2 cents) and revenue of $4.89 billion (topping estimates of $4.61 billion). The company raised its full-year outlook citing broad-based growth across all brands including Bloomingdale's (comps +10.2%), Macy's nameplate (+1.6%), and Bluemercury (+6.4%). Despite the positive results, Wall Street's reaction was muted with shares closing up just 0.4%, as analysts remain cautious with a consensus Reduce rating and average price target 15% below current levels.