Citi Reiterates Buy on Nordstrom (JWN)

Citi is out with its report today on Nordstrom JWN, reiterating Buy. In a note to clients, Citi writes, "In 2010, JWN experienced a same-store sales increase of 8.1% (vs. (-4.2)% in 2009), which was the highest in our coverage universe. Additionally, gross margin increased +118 bps (on top of +96 bps in 2009), while SG&A levered +101 bps, leading to EBIT margin expansion of +191 bps in 2010. The company also agreed to acquire HauteLook, a leader in the online private sale marketplace, in February 2011. The acquisition fits with JWN's multi-channel strategy and will provide an online platform that will lead to greater innovation and speed in the way JWN serves customers in all channels. We reiterate our Buy rating and $56 target price." Shares of JWN closed Monday at $45.17, up 0.13% from Friday's close.