Credit Suisse Says Macy's (M) Is Cheap, Cheap, Cheap

Credit Suisse made bullish statements on Macy's (NYSE: M) today, a stock they upgraded to Outperform in January.

The firm said they have more conviction in their argument that valuation is cheap and the stock should be bought. "...while the company is projected to produce 32% more EBITDA than it was in '05, the EV is only 19% higher. This disparity is a rather recent phenomenon as FY1 EBITDA estimates have risen by 25% since the beginning of '10 while EV has only increased by 8%." The firm said this gap in valuation and EBITDA is warranted.

The firm reiterated their Outperform rating and $27 price target, suggesting 15% upside to yesterday's close.

For more ratings news on Macy's click here and for the rating history of Macy's click here.

Shares of Macy's closed at $23.51 yesterday.

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