In the latest trading session, Nordstrom closed at $26.10, marking a -0.53% move from the previous day. This change lagged the S&P 500's daily gain of 0.21%. Meanwhile, the Dow gained 0.19%, and the Nasdaq, a tech-heavy index, added 0.02%.
Coming into today, shares of the department store operator had lost 7.38% in the past month. In that same time, the Retail-Wholesale sector lost 8.18%, while the S&P 500 lost 8.08%.
Wall Street will be looking for positivity from Nordstrom as it approaches its next earnings report date. On that day, Nordstrom is projected to report earnings of -$0.10 per share, which would represent year-over-year growth of 84.38%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.33 billion, up 10.64% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.30 per share and revenue of $15.62 billion. These totals would mark changes of +200% and +5.59%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Nordstrom. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Nordstrom currently has a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Nordstrom has a Forward P/E ratio of 7.95 right now. Its industry sports an average Forward P/E of 9.88, so we one might conclude that Nordstrom is trading at a discount comparatively.
Also, we should mention that JWN has a PEG ratio of 1.33. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Apparel and Shoes was holding an average PEG ratio of 0.84 at yesterday's closing price.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 88, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Nordstrom (JWN) Stock Sinks As Market Gains: What You Should Know
In the latest trading session, Nordstrom closed at $26.10, marking a -0.53% move from the previous day. This change lagged the S&P 500's daily gain of 0.21%. Meanwhile, the Dow gained 0.19%, and the Nasdaq, a tech-heavy index, added 0.02%.
Coming into today, shares of the department store operator had lost 7.38% in the past month. In that same time, the Retail-Wholesale sector lost 8.18%, while the S&P 500 lost 8.08%.
Wall Street will be looking for positivity from Nordstrom as it approaches its next earnings report date. On that day, Nordstrom is projected to report earnings of -$0.10 per share, which would represent year-over-year growth of 84.38%. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $3.33 billion, up 10.64% from the year-ago period.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $3.30 per share and revenue of $15.62 billion. These totals would mark changes of +200% and +5.59%, respectively, from last year.
Investors should also note any recent changes to analyst estimates for Nordstrom. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Nordstrom currently has a Zacks Rank of #1 (Strong Buy).
Valuation is also important, so investors should note that Nordstrom has a Forward P/E ratio of 7.95 right now. Its industry sports an average Forward P/E of 9.88, so we one might conclude that Nordstrom is trading at a discount comparatively.
Also, we should mention that JWN has a PEG ratio of 1.33. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. The Retail - Apparel and Shoes was holding an average PEG ratio of 0.84 at yesterday's closing price.
The Retail - Apparel and Shoes industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 88, which puts it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.