By instinct, most investors will arguably turn their backs on struggling department store Macy’s (M). Though an iconic retail institution, the company is failing to resonate with consumers in an increasingly digitalized ecosystem. In the past five years, M stock has gone nowhere, losing about 19% of equity value. It has basically returned to price points seen right before the COVID-19 crisis…big whoop.
It’s not so much about the company as it is the concept of department stores. While the shopping mall may not be on life support per say, the stats aren’t particularly encouraging. As Barchart contributor Ilir Salihi remarked, “Malls had an 8.7% vacancy rate at year-end 2022, and an average of 1,170 shopping malls closed each year between 2017 and 2022.”
