NEW YORK, United States — Macy's Inc. shares fell the most in four months after Deutsche Bank AG downgraded the department-store chain, citing a sales slump and mounting expenses from shipping, retirement and health care.

Paul Trussell, a Deutsche Bank analyst in New York, cut his rating to sell from buy, according to a report on Monday. He also lowered his earnings estimate for the next year to $5.03 a share, compared with the consensus projection of $5.17.

“Don’t catch a falling star,” Trussell said in the note.

The stock fell as much as 3.4 percent to $67.50 after the report was published, marking the biggest intraday decline since Feb. 24. The shares had been up 6.2 percent this year through the end of last week.

While Macy's could capitalize on its real estate — mimicking a strategy used by Sears Holdings Corp. and Hudson's Bay Co. — the company is unlikely to go that route, Trussell said. Sales, meanwhile, are getting dragged down by sluggish tourism, more competition and struggles at the Michael Kors brand. The analyst now expects shares of Cincinnati-based Macy's to drop to $63.

By Nick Turner; editor: Kevin Orland.