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 Carmax, Inc.
Research Alert: CFRA Maintains Hold Opinion On Shares Of Carmax, Inc.
Jun 21, 2024
09:05 AM EDT, 06/21/2024 (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 a 12-month target of $70, based on a FY 26 (Feb.) P/E of 18.7x, a justified discount to KMX's 5-year mean forward P/E of 21.7x. We lower our...
Research Alert: CFRA Upgrades Opinion On Shares Of Commercial Metals Company To Buy From Hold
Research Alert: CFRA Upgrades Opinion On Shares Of Commercial Metals Company To Buy From Hold
Jun 21, 2024
02:25 PM EDT, 06/21/2024 (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 target price at $63, derived from our three-stage DCF model, assuming a weighted-average cost of capital of 8.8%, a 5% growth rate for stage 2 and...
Research Alert: CFRA Initiates Coverage On Shares Of Enbridge With Buy Opinion
Research Alert: CFRA Initiates Coverage On Shares Of Enbridge With Buy Opinion
Jun 21, 2024
12:10 PM EDT, 06/21/2024 (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: Our 12-month target is CAD55, an 11x multiple of enterprise value to projected 2025 EBITDA, slightly below ENB's historical forward average, on rising regulatory risk. ENB operates the world's longest...
Research Alert: CFRA Maintains Buy Opinion On Shares Of Apple Inc.
Research Alert: CFRA Maintains Buy Opinion On Shares Of Apple Inc.
Jun 21, 2024
08:10 AM EDT, 06/21/2024 (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 up our 12-month target to $240 from $210 on a P/E of 29x but shifting to our CY 26 EPS of $8.28 (based on CY 25 prior). We keep...
Copyright 2023-2026 - www.financetom.com All Rights Reserved