By Anil K. Ambastha and Kuldip K. Ambastha
Following its disappointing second-quarter earnings due to deep discounting amid rising inventory levels, concern about the potential impact of China tariffs in the future, and slashed earnings guidance for the rest of the year, shares of a retailer, Macy’s (M), dropped by 13.2% on August 14. Macy’s stock price has now dropped by 41.6% year-to-date as of the market close on Wednesday, August 14. Many other retailers’ stock prices also dropped on August 14 along with Macy’s.
Disclosure – The principals of Ambastha Financial LLC have a short option position in M.
Disclaimer – No recommendations are being made via this post. Past performance is not an indicator of future performance. As an investor, you should do your own research and seek professional advice from a Registered Investment Adviser (RIA). You can lose money by investing in stocks and other instruments. Ambastha Financial LLC does not assume any responsibility (legal or otherwise) for any losses that may occur as a result of actions taken based on this post. All content copyrighted © 2019 – Ambastha Financial LLC.