Macy’s upgraded to Overweight from Neutral at JPMorgan

JPMorgan upgraded Macy’s (M) to Overweight from Neutral with a price target of $29, up from $28, after meeting with management. The analyst sees a favorable risk/reward setup at current share levels. Macy’s two-times EBITDA valuation is commensurate with the Victoria’s Secret (VSCO) takeout multiple in 2020 relative to the five-times distressed retail pre-pandemic multiple average, which would translate to a $43 equity value, the analyst tells investors in a research note. The firm sees an attractive entry point at current levels.