9 Analysts Have This To Say About Nordstrom

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Nordstrom JWN has been analyzed by 9 analysts in the last three months, revealing a diverse range of perspectives from bullish to bearish.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Bullish Somewhat Bullish Indifferent Somewhat Bearish Bearish
Total Ratings 0 0 7 1 1
Last 30D 0 0 1 0 0
1M Ago 0 0 2 0 0
2M Ago 0 0 4 1 1
3M Ago 0 0 0 0 0

Analysts have recently evaluated Nordstrom and provided 12-month price targets. The average target is $22.61, accompanied by a high estimate of $26.00 and a low estimate of $14.50. This current average has increased by 8.55% from the previous average price target of $20.83.

price target chart

Decoding Analyst Ratings: A Detailed Look

The perception of Nordstrom by financial experts is analyzed through recent analyst actions. The following summary presents key analysts, their recent evaluations, and adjustments to ratings and price targets.

Analyst Analyst Firm Action Taken Rating Current Price Target Prior Price Target
Dana Telsey Telsey Advisory Group Maintains Market Perform $24.00 $24.00
Jay Sole UBS Raises Neutral $24.00 $14.50
Dana Telsey Telsey Advisory Group Lowers Market Perform $24.00 $26.00
Jay Sole UBS Raises Sell $14.50 $13.00
Michael Binetti Evercore ISI Group Raises In-Line $22.00 $20.00
Lorraine Hutchinson B of A Securities Raises Underperform $22.00 $20.00
Dana Telsey Telsey Advisory Group Raises Market Perform $26.00 $24.00
Dana Telsey Telsey Advisory Group Maintains Market Perform $24.00 $24.00
Paul Lejuez Citigroup Raises Neutral $23.00 $22.00

Key Insights:

  • Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Nordstrom. This information provides a snapshot of how analysts perceive the current state of the company.
  • Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Nordstrom compared to the broader market.
  • Price Targets: Analysts gauge the dynamics of price targets, providing estimates for the future value of Nordstrom's stock. This comparison reveals trends in analysts' expectations over time.

Considering these analyst evaluations in conjunction with other financial indicators can offer a comprehensive understanding of Nordstrom's market position. Stay informed and make well-informed decisions with our Ratings Table.

Stay up to date on Nordstrom analyst ratings.

Unveiling the Story Behind Nordstrom

Nordstrom is a fashion retailer that operates about 93 department stores and 280 off-price Nordstrom Rack stores. The company also operates both full- and off-price e-commerce sites, two clearance stores, and six Local locations. Nordstrom's largest merchandise categories are women's apparel (27% of 2023 sales), shoes (26% of 2023 sales), men's apparel (15% of 2023 sales), and beauty (13% of 2023 sales). Nordstrom, which traces its history to a shoe store opened in Seattle in 1901, continues to be partially owned and managed by members of the eponymous family. They have partnered with Mexican retailer El Puerto de Liverpool to acquire the company.

Nordstrom: Financial Performance Dissected

Market Capitalization Analysis: The company's market capitalization is below the industry average, suggesting that it is relatively smaller compared to peers. This could be due to various factors, including perceived growth potential or operational scale.

Positive Revenue Trend: Examining Nordstrom's financials over 3 months reveals a positive narrative. The company achieved a noteworthy revenue growth rate of 4.34% as of 31 October, 2024, showcasing a substantial increase in top-line earnings. In comparison to its industry peers, the company trails behind with a growth rate lower than the average among peers in the Consumer Discretionary sector.

Net Margin: Nordstrom's net margin lags behind industry averages, suggesting challenges in maintaining strong profitability. With a net margin of 1.33%, the company may face hurdles in effective cost management.

Return on Equity (ROE): Nordstrom's ROE stands out, surpassing industry averages. With an impressive ROE of 4.75%, the company demonstrates effective use of equity capital and strong financial performance.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of 0.51%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Nordstrom's debt-to-equity ratio is notably higher than the industry average. With a ratio of 4.37, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

The Core of Analyst Ratings: What Every Investor Should Know

Analysts work in banking and financial systems and typically specialize in reporting for stocks or defined sectors. Analysts may attend company conference calls and meetings, research company financial statements, and communicate with insiders to publish "analyst ratings" for stocks. Analysts typically rate each stock once per quarter.

Some analysts also offer predictions for helpful metrics such as earnings, revenue, and growth estimates to provide further guidance as to what to do with certain tickers. It is important to keep in mind that while stock and sector analysts are specialists, they are also human and can only forecast their beliefs to traders.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.

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