Macy’s (M) Drops on Holiday Pressure

We recently published 10 Stocks Struggling to Shine Ahead of Christmas. Macy’s Inc. (NYSE:M) is one of the worst performers on Monday.

Macy’s snapped a three-day winning streak on Monday, shedding 3.69 percent to close at $22.95 apiece as investors began repositioning portfolios following an earlier weak outlook for the holiday period.

According to Macy’s Inc. (NYSE:M), it anticipates selective spending among its consumers during the holiday period as cost pressures persist during the quarter due to higher tariffs.

Additionally, sentiment was further dampened by news that Macy’s Inc. (NYSE:M), alongside its retail peers Best Buy and Kohl’s, would slap charges on returns for holiday gifts.

Macy’s Inc. (NYSE:M) alone said it would deduct a $9.99 shipping fee from the full payment for returned products, unless a customer is a loyalty member. The move was aimed at minimizing returns.

Macy’s Inc. (NYSE:M) is one of the leading retailers of fashion, beauty, home food, and accessories in the US.

In the third quarter of the year, its net income dwindled by 60.7 percent to $11 million from $28 million in the same period last year, while net sales and total revenues ended flat at $4.7 billion and $4.9 billion, respectively.

Net sales, however, exceeded the company’s previous guidance range of $4.5 billion to $4.6 billion.

It can be recalled that Macy’s Inc. (NYSE:M) announced earlier plans to close 150 underperforming stores by the end of 2026. Of the total, 50 were planned for this year.

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Disclosure: None. This article is originally published at Insider Monkey.