Macy’s shares close higher on Friday, company to increase seasonal employment by 80 000 for holidays

September 18, 2017 9:40 am

The number of part-time employees, that Macy’s hires for the holiday season to service its distribution network and warehouses supporting the chain’s on-line business, is to increase by 20%.

Macy’s shares closed higher for the fourth time in the past five trading sessions on Friday. It has also been the sharpest daily surge since September 12th. The stock went up 2.64% ($0.58) to $22.58, with the intraday high and the intraday low being at $22.68 and $22.00 respectively. In the week ended on September 17th the shares of the department store chain added 5.91% to their market value compared to a week ago, which marked the third gain in the past four weeks. The stock has extended its advance to 8.71% so far during the current month, following a 12.55% slump in August. The latter has been the fifth drop in the past six months and also the sharpest one since May. For the entire past year, the shares of Macy’s Inc gained 2.37%. The stock has retreated 36.94% so far in 2017.

On September 14th Macy’s Inc (M) said that 18 000 seasonal workers would be hired for the coming holidays to service the company’s on-line orders, or about 3 000 more compared to the 2016 holiday season.

On the other hand, the total number of workers hired for the holiday season is expected to drop to 80 000 from 83 000 in 2016, as the number of stores in operation fell by 70 from a year ago.

In August, Macy’s reiterated its sales forecast for the fiscal year that is due to end in January, as it expects a drop of 3.2% to 4.3%. The company also projects a drop of 2% to 3% in its same-store sales.

The department store operator has reduced the number of workers employed permanently by 16% during the past five years, according to company’s filings.

Meanwhile, 100 stores are due to be closed by the end of 2017.

According to CNN Money, the 21 analysts, offering 12-month forecasts regarding Macy’s Inc’s stock price, have a median target of $23.00, with a high estimate of $36.00 and a low estimate of $20.00. The median estimate is a 1.86% surge compared to the closing price of $22.58 on September 15th.

The same media also reported that 18 out of 25 surveyed investment analysts had rated Macy’s Inc’s stock as “Hold”, while 4 – as “Buy”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, today’s levels of importance for the Macy’s stock are presented as follows:

R1 – $22.64
R2 – $22.70
R3 (Range Resistance – Sell) – $22.77
R4 (Long Breakout) – $22.95
R5 (Breakout Target 1) – $23.17
R6 (Breakout Target 2) – $23.28

S1 – $22.52
S2 – $22.46
S3 (Range Support – Buy) – $22.39
S4 (Short Breakout) – $22.21
S5 (Breakout Target 1) – $21.99
S6 (Breakout Target 2) – $21.88

By using the traditional method of calculation, the weekly levels of importance for Macy’s Inc (M) are presented as follows:

Central Pivot Point – $22.25
R1 – $23.19
R2 – $23.79
R3 – $24.73
R4 – $25.66

S1 – $21.65
S2 – $20.71
S3 – $20.11
S4 – $19.50

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