CINCINNATI - Macy's Inc. shares climbed nearly 3 percent Tuesday after a Citigroup analyst predicted the Cincinnati-based company will benefit more than its rivals from a national recovery in the housing market.
"Macy's is our favorite department store stock for 2013," wrote Citigroup analyst Deborah Weinswig in a Feb. 5 report.
Weinswig increased her rating to "buy" from neutral and boosted her 12-month target on Macy's shares to $45, up from $38. Macy's stock jumped $1.13 Tuesday, closing at $39.85.
"We anticipate that 2013 will be marked by a year of home recovery, which will support consumer spending and gives us an overall sense of optimism for retailers," Weinswig wrote. "After several years of declines in consumer spending on home goods during the recent financial crisis, we anticipate that consumer spending will bounce back, home merchandise sales could grow well into the double digits."
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