Macy´s & Saks report exceptional Q4 revenue

Wednesday, 22 February 2012
Markets closed mixed Tuesday after a session plenty of corporate releases. Macy´s, Saks, Wal-Mart and Nike were some of the traded apparel companies reporting quarterly figures or relevant financial news. While the first reported stronger than expected quarterly figures which rocketed their respective stocks, Wal-Mart closed in red.  
 
Macy's said it expected same-store sales to rise about 3.5 percent and forecast earnings of $3.25 to $3.30 a share, compared with an average Wall Street estimate of $3.26, according to Thomson Reuters I/B/E/S.
"The company has found a good balance between driving the top line and gross margin dollars," Nomura analyst Paul Lejuez wrote in a note to clients, reported Reuters.

The analyst also said he expected Macy's to benefit from changes occurring at Penney, where he expects comparable sales to fall at a mid-to-high single-digit percentage rate in the first half of 2012.

After a quite active premarket in Wall Street, Saks shares were up 3.3 percent in afternoon New York Stock Exchange trading, while Macy's was 1.8 percent higher. Wal-Mart, meanwhile, was down 4 percent. For Macy´s, the current Zacks Consensus Estimate for the quarter is $1.65 per share, which reflects growth of 3.8% from the prior-year quarter's earnings. Estimates currently range between a low of $1.64 and a high of $1.67 per share. The Zacks Consensus Estimate for revenue is at $8,700 million for the fourth quarter.

Still in New York market, Nike's shares closed down 1.6% to $104.95 and were inactive in after- hours trading. The stock hit an all-time high earlier this month and analysts have been overwhelmingly rosy about the company due to excitement about growth opportunities in China and a strong presence in the high-end footwear category. The company's stock has a stellar performance versus the S&P 500 in each of the last five Summer Olympics, up 24.5% on average according to Barclays, as gathered Nasdaq on Tuesday.

In Europe, major indexes closed flat under the news of a second financial rescue plan for Greece.

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