Wow!!
Who could have possibly seen this coming?
Oh Yeah. Me.
http://www.theburningplatform.com/2016/01/06/and-it-begins-2/
http://www.theburningplatform.com/2015/11/11/macys-imploding-catching-down-to-sears-penneys/
http://www.theburningplatform.com/2015/08/15/department-store-results-imploding/
http://www.theburningplatform.com/2015/06/14/consumers-not-following-orders/
http://www.theburningplatform.com/2014/09/13/kohls-the-rest-of-the-retailers-are-in-deep-doo-doo/
http://www.theburningplatform.com/2014/05/25/retail-death-rattle-grows-louder/
Submitted by Tyler Durden on 05/11/2016 08:14 -0400
The retailer apocalypse continues this morning with Macy’s crashing almost 10% in the pre-market after missing top-line and slashing its outlook citing the “uncertain direction of consumer spending,” which seems odd given the confidence with which The Fed, Obama, and every talking head proclaims the US consumer’s health. Comp store sales plunged 6.1% (almost double expectations) and this comes at a time when clothing inventories are at an all-time record high relative to sales.
“We are seeing continued weakness in consumer spending levels for apparel and related categories. In particular, our sales trend relative to expectations meaningfully slowed beginning in mid-March, and first quarter results are below our original outlook. Headwinds also are coming from a second consecutive year of double-digit spending reductions by international visitors in major tourist markets where Macy’s and Bloomingdale’s are key destinations, as well as a slowdown in some center core categories – further intensifying the challenges associated with growing topline sales revenue,” said Terry J. Lundgren, Macy’s, Inc. chairman and chief executive officer.