Nordstrom(JWN)

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Nordstrom (JWN) Shows Fast-paced Momentum But Is Still a Bargain Stock
ZACKS· 2024-10-01 13:50
Momentum investing is essentially the opposite of the tried-and-tested Wall Street adage -- "buy low and sell high." Investors following this investing style typically avoid betting on cheap stocks and waiting long for them to recover. They believe instead that one could make far more money in lesser time by "buying high and selling higher." Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves ...
Buy 3 Momentum Anomaly Stocks as Markets Bask in Economic Strength
ZACKS· 2024-09-30 12:46
The broader U.S. equity markets witnessed a steady uptrend over the past couple of days, buoyed by a solid economy, soothing concerns that the Federal Reserve was cutting rates aggressively because of a potential slowdown. The stock market rally was further propelled by cooling inflation, with data from the Personal Consumption Expenditure Price Index revealing that the 12-month inflation rate increased 2.2% in August – below the broad-based expectations of a 2.3% rise. Initial jobless claims for the week e ...
Nordstrom Downgraded: Analyst Highlights Consumer Pressure And Potential M&A Impact
Benzinga· 2024-09-26 18:35
KeyBanc Capital Markets analyst Ashley Owens downgraded Nordstrom JWN from Overweight to Sector Weight. The analyst highlights several encouraging key priorities, including improvements in the Nordstrom banner, identification of operational efficiencies, and continued in Rack growth. Sell-through during the second quarter's anniversary sale met expectations, while regular-price sales and increased customer visits reflect solid brand positioning. With over 50% of revenue and approximately 60% of profit still ...
Nordstrom to Expand Footprint: New Rack Store Coming Up in Holbrook
ZACKS· 2024-09-26 17:01
As part of its store expansion initiative, Nordstrom, Inc. (JWN) unveiled plans to open a new Nordstrom Rack in Holbrook, NY, in fall 2025. This new store will bolster the company's presence in the New York market, attracting new customers through its wide range of high-quality brands at affordable prices. The new store, covering a 27,000-square-foot area, will be located at The Shops at SunVet, a famous shopping center that houses retailers like Whole Foods Market and Starbucks. The Shops at SunVet, locate ...
Why Is Nordstrom (JWN) Up 2.8% Since Last Earnings Report?
ZACKS· 2024-09-26 16:31
It has been about a month since the last earnings report for Nordstrom (JWN) . Shares have added about 2.8% in that time frame, outperforming the S&P 500. Will the recent positive trend continue leading up to its next earnings release, or is Nordstrom due for a pullback? Before we dive into how investors and analysts have reacted as of late, let's take a quick look at its most recent earnings report in order to get a better handle on the important drivers. Nordstrom Beats on Q2 Earnings, Updates FY24 Outloo ...
Nordstrom (JWN) Gains 67% in a Year: Should You Buy or Hold the Stock?
ZACKS· 2024-09-20 16:21
Shares of Nordstrom, Inc. (JWN) have surged 67.4% in the past year, outperforming the Zacks Retail - Apparel and Shoes industry's 8.4% decline, the broader Retail-Wholesale sector's 30.3% rise and the S&P 500 index's 31.4% growth. Its strategic efforts are on track. JWN is focused on driving the Nordstrom banner's growth, optimizing operations and building momentum at Rack. Digital efforts are also underway. Currently priced at $22.91, the JWN stock is trading at 4.7% to its 52-week high of $24.03, reached ...
Are Investors Undervaluing Nordstrom (JWN) Right Now?
ZACKS· 2024-09-20 14:46
While the proven Zacks Rank places an emphasis on earnings estimates and estimate revisions to find strong stocks, we also know that investors tend to develop their own individual strategies. With this in mind, we are always looking at value, growth, and momentum trends to discover great companies. Of these, value investing is easily one of the most popular ways to find great stocks in any market environment. Value investors use tried-and-true metrics and fundamental analysis to find companies that they bel ...
JWN vs. DECK: Which Stock Is the Better Value Option?
ZACKS· 2024-09-16 16:46
Core Viewpoint - The article compares Nordstrom (JWN) and Deckers (DECK) to determine which stock offers better value opportunities for investors [1] Valuation Metrics - JWN has a Zacks Rank of 1 (Strong Buy), indicating a stronger earnings outlook compared to DECK, which has a Zacks Rank of 2 (Buy) [3] - JWN's forward P/E ratio is 11.81, significantly lower than DECK's forward P/E of 29.59 [5] - JWN has a PEG ratio of 2.42, while DECK's PEG ratio is 2.74, suggesting JWN may be more attractive based on expected EPS growth [5] - JWN's P/B ratio is 3.88, compared to DECK's P/B of 11.45, indicating JWN is undervalued relative to its book value [6] - Based on these metrics, JWN holds a Value grade of A, while DECK has a Value grade of C [6] Earnings Outlook - JWN is noted for its improving earnings outlook, which enhances its attractiveness in the Zacks Rank model [7]
Here Is Why Bargain Hunters Would Love Fast-paced Mover Nordstrom (JWN)
ZACKS· 2024-09-09 13:51
Momentum investing is essentially an exception to the idea of "buying low and selling high." Investors following this style of investing are usually not interested in betting on cheap stocks and waiting long for them to recover. Instead, they believe that "buying high and selling higher" is the way to make far more money in lesser time. Who doesn't like betting on fast-moving trending stocks? But determining the right entry point isn't easy. Often, these stocks lose momentum once their valuation moves ahead ...
Nordstrom: Business Continues To Benefit From The Macro Backdrop
Seeking Alpha· 2024-09-06 16:22
Core Viewpoint - Nordstrom, Inc. (NYSE:JWN) is expected to benefit from a favorable macro environment, with a positive margin outlook and strong demand trends, despite a potential buyout offer that may not be accepted by the board [2][10]. Financial Performance - In 2Q24, JWN reported total retail sales growth of 3.4% year-over-year, resulting in revenue of $3.78 billion, which includes $109 million from credit card revenue, bringing total revenue to approximately $3.894 billion [3]. - Adjusted gross margin expanded by approximately 160 basis points from 35% in 2Q23 to 36.6% in 2Q24, contributing to an adjusted EBIT margin of 6.4%, a 140 basis point year-over-year increase [3][6]. Growth Outlook - The company is expected to continue benefiting from weak consumer spending, with Rack sales growing by 8.5% year-over-year and same-store sales increasing by 4.1% [4]. - JWN plans to open 12 additional Rack stores in the second half of 2024, following the opening of 5 stores in the previous quarter [4]. - The full-line business shows potential growth acceleration in 2H24, driven by strong sales in key brands and double-digit growth in beauty and active categories during anniversary sales [5]. Margin Outlook - The gross margin outlook is positive, with structural improvements expected to continue, driven by increased sales volume and reduced shrinkage as RFID investments are rolled out [6][7]. - The EBIT margin is projected to expand further in 2H24, with consensus estimates suggesting a target of approximately 3.7% [7]. Buyout Proposal and Valuation - JWN received a proposal for a going-private transaction at $23 per share, which equates to about 12 times FY25 P/E based on consensus estimates [8]. - The board is unlikely to accept this offer due to the lack of premium over the current share price, but it may establish a valuation floor [8]. - The stock could potentially trade up to approximately $23.80 based on FY26 EPS estimates, given the robust near-term demand outlook [8].