Nordstrom's CFO Departure 'Surprising' Ahead Of Upcoming Holiday Season, Says Analyst

Telsey Advisory Group analyst Dana Telsey reiterated a Market Perform rating on the shares of Nordstrom Inc JWN with a price target of $25.00.
The company announced that CFO Anne Bramman would be departing the company on December 2, 2022.
Michael Maher, JWN's current chief accounting officer, will serve as interim CFO while the company conducts an internal and external search for Bramman's permanent replacement.
The analyst said Bramman's departure comes as a bit of surprise, particularly ahead of the upcoming holiday season.
However, Telsey noted seeing somewhat of an elevated level of management turnover across her coverage in recent months as executives (and companies) look for a change after two turbulent and challenging years.
Nordstrom's incoming CFO will likely continue to focus on the Nordstrom Rack turnaround, merchandise margin expansion opportunities, SG&A and supply chain management, and new avenues to engage with its customers to maintain its favorable positioning across the department store space, noted the analyst.
Telsey anticipates that Nordstrom will name a seasoned executive for the CFO role.
While the search will likely take some time, especially for an external hire, the analyst believes Maher is well-positioned for the interim role considering his tenure and existing leadership role at JWN.
The analyst also cited management reaffirming its FY22 outlook, as outlined with its 2Q22 results in late August.
Price Action: JWN shares are trading lower by 1.73% at $19.63 on the last check Wednesday.
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