S&P Global Ratings upgrades Macy's to BB-plus after solid operating results for Q3
S&P Global Ratings upgraded its rating on Macy's Inc. to BB-plus from BB, and said the department store chain continues to deliver solid operating results and deleverage despite the challenging environment for the retail sector. The new rating is just one notch below investment grade and the outlook is stable. "Macy's has made material progress toward improving liquidity and operating performance while maintaining credit metrics well below our upside leverage threshold of 3x, even in this volatile year for apparel and department store companies," the rating agency said in a statement. Macy's on Thursday posted better-than-expected third-quarter earnings and raised its full-year guidance. Like other retailers, Macy's said it saw a sudden dip in sales mid-October that continued into November and said it now expects holiday spending to start later than usual. Shares were up 1% premarket Friday and are down 13.4% in the year to date, while the S&P 500 has fallen 17%.
(END) Dow Jones Newswires
November 18, 2022 06:34 ET (11:34 GMT)
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