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Macy's Cuts 2019 Outlook; Stock Down - Quick Facts

Macy's Inc. (M) lowered its outlook for the full-year 2019, citing impact of its third quarter sales trend.

In Thursday pre-market trade, M is currently trading at $14.13, down $0.89 or 5.93 percent.

"Our third quarter sales were impacted by the late arrival of cold weather, continued soft international tourism and weaker than anticipated performance in lower tier malls. We also experienced a temporary impact on our e-commerce business due in part to work on the site in preparation for the fourth quarter," said Jeff Gennette, chairman and chief executive officer of Macy's, Inc.

The company slashed its adjusted earnings guidance for fiscal year 2019 to a range of $2.57 to $2.77 per share from the previous forecast in the range of $2.85 to $3.05 per share.

The company now expects annual net sales to be down by 2.0% - 2.5% from last year. Previously, it expected annual net sales to be about flat with the prior year.

The company now projects annual comparable sales, owned plus licensed, to be down 1.0% - 1.5%; and Comparable sales, owned, to be about 20 basis points below comparable sales on an owned plus licensed basis. Earlier, the company expected full-year comparable sales for both, owned plus licensed basis and owned basis, to be flat to up 1 percent.

The company reported comparable sales decline of 3.9% on an owned basis in the third-quarter; decline of 3.5% on an owned plus licensed basis in the quarter.

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