GOP presidential front-runner Donald Trump took to Twitter Monday to rejoice over news that shares of Macy's stock have fallen 40 percent over the past few months. He cited his call to boycott the department store chain after it decided to stop selling his clothing line in protest of his strong anti-illegal immigration views as the reason for the decline.
Trump tweeted:
In a story headlined "Why Investors Should Avoid Macy's, Inc. Stock Ahead Of Holiday Season," financial research site
Bidness Etc writes that "[s]ince the start of the month, Macy's, Inc. (NYSE:M) stock has lost nearly 25% value, against S&P 500 Index's loss of 2.14%"
"We are disappointed that the pace of sales did not improve in the third quarter, as we had expected. Spending by domestic customers remained tepid, especially in key apparel and accessory categories," Macy CEO Terry Lundgren said, Bidness Etc reports.
Macy's announced in June that it was
pulling its line of Trump-brand clothing in response to comments the real estate billionaire made about Mexican illegal aliens while announcing his candidacy for president.
"When Mexico sends its people, they're not sending their best. ... They're sending people that have lots of problems, and they're bringing those problems to us," Trump said at the time. "They're bringing drugs. They're bringing crime. They're rapists. And some, I assume, some are good people."
"In light of statements made by Donald Trump, which are inconsistent with Macy's values, we have decided to discontinue our business relationship with Mr. Trump and will phase-out the Trump menswear collection, which has been sold at Macy's since 2004," a statement from the company read.
Trump supporters immediately rose up in anger against the move, with about
30,000 customers calling Macy's to complain and scores cutting up their store credit cards to express their outrage.
The dismal third-quarter results had one retail expert suggesting Macy's may be a ripe target for a corporate takeover.
"Somebody could take them out," Worldwide Enterprises CEO Jan Rogers Kniffen
told CNBC last week.
Macy's stock has plummeted more than 40 percent since July 15, just days after Trump tweeted his support for a boycott, CNBC reports.
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