Macy's

AP

M Macy’s

24.28 -5.06 (-17.20 %)

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Macy’s is in the process of shutting down 100 stores, or nearly 15% of its store base, as it battles plunging sales and traffic.

But it needs to close even more locations to revive business, according to analysts and industry experts.

The market “probably wants to see another 100 Macy’s stores close,” Jan Kniffen, CEO of consulting frim Worldwide Enterprises, told CNBC Thursday.

Cowen & Co. analyst Oliver Chen echoed that statement in a research note Thursday.

“We fear that Macy’s may need to close more stores than previously announced, and share losses vs. both off-price (TJ Maxx and Ross Stores) and Amazon will continue in the foreseeable future,” Chen wrote.

In a call with analysts on Thursday, Macy’s CEO Jeff Gennette acknowledged that Macy’s might not be done closing stores in the near term.

“I’m not going to say we’re not going to close more stores,” Gennette said. “We do have to stabilize our brick-and-mortar business… That’s where a majority of our business is still done.”

In late January, Macy’s had 673 stores in operation, down from nearly 800 in 2014. By the end of this year, the chain’s store base will drop to around 600.

Macy's

AP

Macy’s is one of more than a dozen major…