Macy's Forecast
Macy's slumped 3.6 percent to $38.08. The company repeated its forecast that profit this year would be $3.25 to $3.30 a share. Analysts estimated $3.39, on average.
Some stocks slumped after analysts' downgrades. Marvell Technology Group Ltd. dropped 4.1 percent to $13.33 after being cut to neutral from buy at UBS AG. CF Industries Holdings Ltd., the largest U.S. maker of nitrogen fertilizers, tumbled 4.6 percent to $174.48 after Dahlman Rose & Co. recommended selling the shares.
Walt Disney Co. jumped 1.6 percent to $45, a record high. The world's largest entertainment company said fiscal second- quarter earnings rose 21 percent, beating analysts' estimates on rising theme-park and cable-television profits.
Dean Foods Co. rose 6.5 percent, the most in the S&P 500, to $13.55. The biggest U.S. dairy processor boosted its full- year forecast, saying it now expects to earn at least $1.10 a share. Analysts, on average, estimated 95 cents.
Beat the Market
Arena Pharmaceuticals Inc. increased 4.4 percent to $3.57. The biopharmaceutical company was raised to outperform from market perform at BMO Capital Markets. The rating means that Arena is forecast to beat the market.
The S&P 500 has risen 6.9 percent this year amid better- than-estimated economic and corporate data. About 70 percent of S&P 500 companies that reported results since the start of the earnings season have topped projections, according to data compiled by Bloomberg.
U.S. stocks are less than expensive regardless of the price-earnings ratio used to value them, said Richard Bernstein, chief executive officer of Richard Bernstein Advisors LLC.
A comparison of the S&P 500's multiple to earnings from the previous four quarters along with a ratio, compiled by Yale University Professor Robert J. Shiller, that's based on 10 years of income, put the index's value at respectively 13.8 times and 22.2 times profit.