Macy's cheery outlook boosts stock on gloomy day

macys.png By Hibah Yousuf, staff reporter


NEW YORK (CNNMoney.com) -- Shares of Macy's rallied more than 5% in early trading Wednesday after the department store chain posted a quarterly profit that beat estimates and boosted its earnings forecast for the year.

The stock rally came on a day when the overall market tumbled due to concerns about the global economy.

Macy's (M, Fortune 500) said its second-quarter net income soared to $147 million, or 35 cents per share. That's up from $7 million, or 2 cents per share, a year earlier, including 18 cents per share in restructuring charge.

Analysts polled by Thomson Reuters were looking for earnings of 29 cents per share for the three months ended July 31.

Macy's revenue also beat forecasts, rising 7% to $5.5 billion thanks to higher-than-expected sales.

For the full year, the retail giant expects same-store sales to be between 4% and 4.2% higher compared to 2009, an improvement from its most recent guidance of up to a 3.5% increase.  To top of page

Just the hot list include
Frontline troops push for solar energy
The U.S. Marines are testing renewable energy technologies like solar to reduce costs and casualties associated with fossil fuels. Play
25 Best Places to find rich singles
Looking for Mr. or Ms. Moneybags? Hunt down the perfect mate in these wealthy cities, which are brimming with unattached professionals. More
Fun festivals: Twins to mustard to pirates!
You'll see double in Twinsburg, Ohio, and Ketchup lovers should beware in Middleton, WI. Here's some of the best and strangest town festivals. Play
Index Last Change % Change
Dow 24,083.83 59.70 0.25%
Nasdaq 7,003.74 -3.61 -0.05%
S&P 500 2,639.40 4.84 0.18%
Treasuries 3.02 0.04 1.37%
Data as of 8:27pm ET
Company Price Change % Change
General Electric Co 14.05 -0.63 -4.29%
Advanced Micro Devic... 9.71 -0.38 -3.77%
Bank of America Corp... 30.14 -0.05 -0.17%
Micron Technology In... 47.60 0.49 1.04%
Facebook Inc 159.69 0.00 0.00%
Data as of 4:15pm ET
Sponsors

Sections

When Snapchat changed its app a few months ago, users ? including Kylie Jenner ? revolted. Snap is making changes again, and they have Wall Street nervous. More

US regulators are close to slapping Wells Fargo with a $1 billion fine for forcing customers into car insurance and charging mortgage borrowers unfair fees. More

Nissan's redesigned electric car isn't as exciting as some competitors but it's practical and affordable. More