Key HighlightsQ2 adjusted EPS reached 63 cents, significantly surpassing Wall Street’s 37-cent projectionRevenue climbed 1.1% to $4.87 billion, exceeding the $4.81 billion analyst estimateCompany upgraded its full-year earnings outlook for the second consecutive time, projecting adjusted EPS between $2.15 and $2.35The retailer benefited from $98 million in tariff refund proceeds this quarter, contributing 23 cents per shareShares declined 4.7% to $20.50 in premarket hours, dipping beneath the 200-day moving averageShares of Macy’s fell 4.7% to $20.50 during premarket trading hours on Thursday, September 10, even as the department store chain delivered robust second-quarter results and upgraded its annual projections for the second time in 2026.Macy’s, Inc., MThe department store operator delivered adjusted earnings of 63 cents per share for its fiscal second quarter that concluded on August 1. This performance substantially exceeded Wall Street’s projected 37 cents per share. In comparison, the company had posted adjusted EPS of 35 cents in the same period last year.Revenue reached $4.87 billion, marking a 1.1% increase from the previous year and topping the analyst consensus forecast of $4.81 billion.Comparable store sales throughout the Macy’s portfolio increased 2.7%. Market analysts had anticipated just 1% growth. However, this expansion did represent a modest deceleration from the 3% comparable sales increase recorded in the first quarter.MACY'S $M Q2’26 EARNINGS HIGHLIGHTS Revenue: $4.9B (Est. $4.83B) ; +1.1% YoY Adj. EPS: $0.63; incl. $0.23 tariff refunds Adj. EPS ex-Refund: $0.40 (Est. $0.37) GAAP EPS: $0.62; +100% YoY; incl. refunds Adj. EBITDA: $457M; incl. tariff refundsRaises FY26… pic.twitter.com/UmqCJJMtTQ— Wall St Engine (@wallstengine) September 10, 2026Bloomingdale’s delivered exceptional performance. The luxury brand’s comparable store sales surged 11.3%, with revenue reaching the highest second-quarter level in the brand’s entire history. Bluemercury posted 6.2% growth, while flagship Macy’s locations increased 1.1%.The company’s credit card operations also showed improvement, with net revenue advancing 2% to reach $156 million during the quarter.Tariff Reimbursements Provide Earnings LiftMacy’s booked a 23-cent per share benefit from tariff reimbursements this quarter, incorporating $98 million collected during the reporting period plus an additional $18 million received after quarter-end.Approximately $20 million of these funds will contribute to full-year earnings per share. The balance of $96 million is being channeled back into the company’s comprehensive turnaround initiative.CEO Tony Spring emphasized the company’s commitment to “scaling what is resonating most with customers” and establishing a “durable foundation for sustainable, profitable growth.”Full-Year Projections Elevated AgainBuilding on the encouraging quarterly performance, Macy’s elevated its annual guidance. The retailer now anticipates adjusted EPS ranging from $2.15 to $2.35, an increase from the previous $2.00 to $2.20 range.Full-year revenue projections were also raised to $21.68 billion to $21.83 billion, up from the earlier forecast of $21.5 billion to $21.75 billion.Comparable sales growth expectations now stand at 1% to 1.5% for the complete fiscal year, improved from the previous 0.5% to 1.2% outlook.The midpoint of these updated projections slightly exceeded Wall Street’s consensus expectations for both adjusted earnings and revenue.The stock had previously declined 4.2% in the preceding trading session and settled below its 200-day moving average around $21.60, marking the first time since May 19 it traded beneath this technical threshold.The post Macy’s (M) Stock Tumbles Despite Strong Q2 Beat and Upgraded Outlook appeared first on Blockonomi.