financetom
Personal Finance
financetom
/
Personal Finance
/
Research Alert: CFRA Lowers Opinion On Shares Of Nordstrom, Inc. To Sell From Hold
News World Market Environment Technology Personal Finance Politics Retail Business Economy Cryptocurrency Forex Stocks Market Commodities
Research Alert: CFRA Lowers Opinion On Shares Of Nordstrom, Inc. To Sell From Hold
May 31, 2024 5:56 AM

08:30 AM EDT, 05/31/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We maintain our 12-month price target of $16, based on 8.0x our FY 25 (Jan.) EPS estimate and in line with peers average forward P/E multiple. We maintain our FY 25 and FY 26 EPS estimates at $2.00, respectively. JWN posts normalized Q1 EPS of -$0.24 vs. $0.07, $0.17 below consensus estimates on revenue of $3.34B vs. $3.18B, $139M above estimates. By brand in Q1, Nordstrom banner sales increased 0.6% Y/Y, while Nordstrom Rack grew 13.8% in the quarter. Nordstrom Rack comparable store sales increased 7.9%. Q1 gross margin compressed 225 bps Y/Y to 31.6% due to timing matters, external theft, and inventory cleanup. JWN reaffirmed its full-year guidance even after the Q1 EPS miss. Although Nordstrom Rack is experiencing top-line growth, the company continues to underperform in gross and operating margin. We believe valuation is extended and do not believe Nordstrom Rack will drive margins higher over the next 12 months.

Comments
Welcome to financetom comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
Related Articles >
Research Alert: CFRA Maintains Hold Opinion On Shares Of Ballard Power Systems Inc.
Research Alert: CFRA Maintains Hold Opinion On Shares Of Ballard Power Systems Inc.
Jul 14, 2025
04:05 PM EDT, 07/14/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We lift our target by CAD0.70 to CAD2.60, applying a P/S multiple of 6x to our 2025 sales-per-share view of CAD0.43 (with a CAD/USD exchange rate of 1.37x). Our multiple...
Research Alert: CFRA Reiterates Buy Opinion On Shares Of Transdigm Group Incorporated
Research Alert: CFRA Reiterates Buy Opinion On Shares Of Transdigm Group Incorporated
Jul 14, 2025
11:15 AM EDT, 07/14/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: We increase our 12-month target by $73 to $1,599, or 36.0x our FY 26 (Sep.) EPS estimate, above TDG's three-year avg. forward P/E of 32.8x but below peers' avg. of...
Research Alert: CFRA Keeps Hold Opinion On Shares Of The Kraft Heinz Company
Research Alert: CFRA Keeps Hold Opinion On Shares Of The Kraft Heinz Company
Jul 14, 2025
11:05 AM EDT, 07/14/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: According to an unconfirmed WSJ report, KHC is considering a breakup, potentially separating its slower-growing grocery business from its faster-growing condiments segment. This follows the company's May announcement that it...
Research Alert: CFRA Keeps Hold Opinion On Shares Of The Kraft Heinz Company
Research Alert: CFRA Keeps Hold Opinion On Shares Of The Kraft Heinz Company
Jul 14, 2025
11:00 AM EDT, 07/14/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows: According to an unconfirmed WSJ report, KHC is considering a breakup, potentially separating its slower-growing grocery business from its faster-growing condiments segment. This follows the company's May announcement that it...
Copyright 2023-2026 - www.financetom.com All Rights Reserved