Warren Buffett's Berkshire Hathaway increased its stake in Macy's by 141.82% during the period covered by its latest filing, bringing its holdings to 7.37 million shares worth roughly $173 million and giving it 2.79% ownership of the retailer as of June 29, 2026. The position, which represents just 0.06% of Berkshire's total portfolio, marks the conglomerate's first public bet on a department store chain in about 60 years. Macy's delivered a strong first quarter, with companywide comparable sales up 3% versus guidance of 0.5% to 1.5%, adjusted earnings per share of $0.13 beating a range that topped out at a penny, and net sales climbing 1.8% to $4.7 billion. The company raised its full-year outlook to net sales between $21.5 billion and $21.75 billion and adjusted earnings per share of $2.00 to $2.20, while returning $100 million to shareholders through dividends and buybacks. Analysts forecast free cash flow to expand from $690 million in fiscal 2026 to $955 million in fiscal 2031, and at 8.3 times forward free cash flow the stock could return over 35% within three years after dividends, though the average price target of $22.33 is 4.6% below current levels.
Macy’s IncBerkshire's increased stake and Macy's strong earnings and raised outlook are positive.
Berkshire Hathaway IncBerkshire increased its stake in Macy's, a capital allocation move.
