RTTNews | Oct 6, 2021 05:49PM EDT

17:49 Wednesday, October 6, 2021 (RTTNews.com) - Investment firm Jana Partners said on Wednesday that the share price of retailer Macy's Inc. (M) had chances of doubling if the company made its online business a separate one as more customers are making online purchases. The investment firm said that the online business could have a value of $14 billion, while Macy's has a market valuation of about $6.9 billion. Commenting on the matter, Jana Partners portfolio manager Scott Ostfeld said at the 13D Monitor Active-Passive Investor Summit, said, "Macy's could see an increase in its stock price by 100 percent if it followed the playbook of Saks. Saks Fifth Avenue had earlier this year announced plans to split off its e-commerce unit Saks.com. The online unit brought in good revenue for the company. Ostfeld said Macy's could create a digital goldmine and impress investors who may now be expecting the company's stock price will fall, not rise, by selling it short. The stock is currently trading at $22.28 and has fallen 42 percent in the last five years. Jana Partners said that the market isn't properly valuing the retailer's digital business and said a separation would do wonders for Macy's.

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