Nordstorm (JWM, $22.13) beats Q3 earnings expectations
Nordstrom posted its third quarter adjusted earnings of $0.20 per share, well above analysts’ expectations of $0.14 per share. The figure was lower than $0.39 per share a year ago, though.
Revenues for the quarter slipped -2.5% from the year-ago quarter to $3.55 billion, just ahead of Street forecasts. Sales at Nordstrom Rack fell -1.8% year-over-year. Digital sales were down -16%, partly due to the timing of Nordstrom's anniversary sale event (i.e. the second quarter).
Looking ahead, the retail chain has projected adjusted profits in the range of $2.13 to $2.43 per share for its full financial year, revising its forecast down from $2.45 to $2.75 per share, as it clears out excess inventory and makes space for new premium brand purchasing capacity. The company continues to expect revenue growth of between 5% and 7% and adjusted profit margins of between 4.3% and 4.7% for the year.
Momentum Indicator for JWN turns positive, indicating new upward trend
JWN saw its Momentum Indicator move above the 0 level on May 17, 2023. This is an indication that the stock could be shifting in to a new upward move. Traders may want to consider buying the stock or buying call options. Tickeron's A.I.dvisor looked at 99 similar instances where the indicator turned positive. In of the 99 cases, the stock moved higher in the following days. The odds of a move higher are at .
Technical Analysis (Indicators)
Bullish Trend Analysis
The RSI Oscillator points to a transition from a downward trend to an upward trend -- in cases where JWN's RSI Oscillator exited the oversold zone, of 32 resulted in an increase in price. Tickeron's analysis proposes that the odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for JWN just turned positive on May 10, 2023. Looking at past instances where JWN's MACD turned positive, the stock continued to rise in of 47 cases over the following month. The odds of a continued upward trend are .
JWN moved above its 50-day moving average on May 26, 2023 date and that indicates a change from a downward trend to an upward trend.
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where JWN advanced for three days, in of 296 cases, the price rose further within the following month. The odds of a continued upward trend are .
Bearish Trend Analysis
The Stochastic Oscillator may be shifting from an upward trend to a downward trend. In of 64 cases where JWN's Stochastic Oscillator exited the overbought zone, the price fell further within the following month. The odds of a continued downward trend are .
Following a 3-day decline, the stock is projected to fall further. Considering past instances where JWN declined for three days, the price rose further in of 62 cases within the following month. The odds of a continued downward trend are .
JWN broke above its upper Bollinger Band on May 18, 2023. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
The Aroon Indicator for JWN entered a downward trend on May 15, 2023. This could indicate a strong downward move is ahead for the stock. Traders may want to consider selling the stock or buying put options.
Fundamental Analysis (Ratings)
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is seriously undervalued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (3.560) is normal, around the industry mean (2.168). P/E Ratio (10.799) is within average values for comparable stocks, (56.673). Projected Growth (PEG Ratio) (0.421) is also within normal values, averaging (1.025). Dividend Yield (0.047) settles around the average of (0.031) among similar stocks. P/S Ratio (0.170) is also within normal values, averaging (0.694).
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Seasonality Score of (best 1 - 100 worst) indicates that the company is fair valued in the industry. The Tickeron Seasonality score describes the variance of predictable price changes around the same period every calendar year. These changes can be tied to a specific month, quarter, holiday or vacation period, as well as a meteorological or growing season.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to consistent earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. JWN’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating that the returns do not compensate for the risks. JWN’s unstable profits reported over time resulted in significant Drawdowns within these last five years. A stable profit reduces stock drawdown and volatility. The average Profit vs. Risk Rating rating for the industry is 86, placing this stock worse than average.
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High and low price notable news
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Fundamental Analysis Ratings
The average fundamental analysis ratings, where 1 is best and 100 is worst, are as follows
General Information
a retailer of apparel, shoes, cosmetics and accessories
Industry DepartmentStores
JWN and
Correlation & Price change
A.I.dvisor indicates that over the last year, JWN has been closely correlated with M. These tickers have moved in lockstep 69% of the time. This A.I.-generated data suggests there is a high statistical probability that if JWN jumps, then M could also see price increases.
