The Business of Fashion
Agenda-setting intelligence, analysis and advice for the global fashion community.
Agenda-setting intelligence, analysis and advice for the global fashion community.
NEW YORK, United States — Macy's Inc could see its shares rise by 50 percent in a potential sale, as the struggling retailer looks to turn around its business by downsizing its physical-store operations and reinvesting in its online presence, Barron's said on Sunday.
The Cincinnati-based company, which in recent years has become the sixth-largest online retailer, is a bargain for investors despite Wall Street's gloomy outlook with management's plans to close 100 underperforming stores, which could increase its stock by 20 to 30 percent.
It also plans to cut up to 10,000 jobs out of a total 157,900. That could reduce costs by $550 million annually, freeing up funds to invest in the company's growing online business.
Earlier this month, Hudson's Bay Co made a takeover approach for the retailer in an effort to further push into the US market, according to people familiar with the matter.
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A potential sale, particularly one with a spinoff of the company's real estate assets, could boost Macy's stock to $45 to $50, the report added. On Friday, its stock closed at $31.99.
Macy's property portfolio is estimated to be worth as much as $21 billion. It has around 900 stores in the United States, which includes its Bloomingdale's outlets and its flagship store in New York City's Herald Square.
By Catherine Ngai; editor: Sandra Maler.
From analysis of the global fashion and beauty industries to career and personal advice, BoF’s founder and CEO, Imran Amed, will be answering your questions on Sunday, February 18, 2024 during London Fashion Week.
The State of Fashion 2024 breaks down the 10 themes that will define the industry in the year ahead.
Imran Amed reviews the most important fashion stories of the year and shares his predictions on what this means for the industry in 2024.
After three days of inspiring talks, guests closed out BoF’s gathering for big thinkers with a black tie gala followed by an intimate performance from Rita Ora — guest starring Billy Porter.