When Macy's stops talking, run for the hills
TheStreet.com media critic Marek Fuchs notes that Macy’s decision to stop releasing monthly sales figures for its stores — which every other retailer provides to investors and the business media — should be a signal for investors to sell the stock.
Fuchs wrote, “You would be crazy to be involved in such a murky situation when most public companies, even struggling ones, try to be open, right? This is a central development for Macy’s shareholders, right?
“The answers seem obvious to me, but not to the business media.
“Bloomberg ran this headline, favorably comparing Macy’s to Target: ‘Profit Rises at Macy’s and Falls at Target’
“The tidbits about monthly sales numbers and lack of guidance? Not even mentioned.
“Our own TheStreet.com also failed in this regard. It mentioned Macy’s forecast, given earlier this month, without mentioning that the company has since gone out of the forecasting business. And it treats same-store sales similarly, not mentioning that the yearly forecast for a 1-1.5% drop in same-store sales will be met or missed without the aid of monthly figures of forecasts. Good luck putting your finger to the wind on this one.”
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