Nordstrom (JWN) got here out with a quarterly lack of $0.64 per share versus the Zacks Consensus Estimate of a lack of $0.53. This compares to lack of $2.23 per share a yr in the past. These figures are adjusted for non-recurring objects.
This quarterly report represents an earnings shock of -20.75%. 1 / 4 in the past, it was anticipated that this division retailer operator would submit earnings of $0.13 per share when it truly produced earnings of $0.21, delivering a shock of 61.54%.
During the last 4 quarters, the corporate has surpassed consensus EPS estimates two instances.
Nordstrom, which belongs to the Zacks Retail – Attire and Sneakers business, posted revenues of $3.01 billion for the quarter ended April 2021, surpassing the Zacks Consensus Estimate by 4.40%. This compares to year-ago revenues of $2.12 billion. The corporate has topped consensus income estimates two instances during the last 4 quarters.
The sustainability of the inventory’s instant worth motion based mostly on the recently-released numbers and future earnings expectations will principally depend upon administration’s commentary on the earnings name.
Nordstrom shares have added about 20.3% because the starting of the yr versus the S&P 500’s achieve of 11.7%.
What’s Subsequent for Nordstrom?
Whereas Nordstrom has outperformed the market thus far this yr, the query that involves traders’ minds is: what’s subsequent for the inventory?
There aren’t any straightforward solutions to this key query, however one dependable measure that may assist traders handle that is the corporate’s earnings outlook. Not solely does this embody present consensus earnings expectations for the approaching quarter(s), but additionally how these expectations have modified recently.
Empirical analysis reveals a robust correlation between near-term inventory actions and traits in earnings estimate revisions. Traders can observe such revisions by themselves or depend on a tried-and-tested score instrument just like the Zacks Rank, which has a powerful observe document of harnessing the facility of earnings estimate revisions.
Forward of this earnings launch, the estimate revisions pattern for Nordstrom was combined. Whereas the magnitude and course of estimate revisions might change following the corporate’s just-released earnings report, the present standing interprets right into a Zacks Rank #3 (Maintain) for the inventory. So, the shares are anticipated to carry out in keeping with the market within the close to future. You may see the entire checklist of in the present day’s Zacks #1 Rank (Robust Purchase) shares right here.
It is going to be attention-grabbing to see how estimates for the approaching quarters and present fiscal yr change within the days forward. The present consensus EPS estimate is $0.29 on $3.21 billion in revenues for the approaching quarter and $1.15 on $13.56 billion in revenues for the present fiscal yr.
Traders ought to be aware of the truth that the outlook for the business can have a fabric influence on the efficiency of the inventory as nicely. By way of the Zacks Trade Rank, Retail – Attire and Sneakers is presently within the high 25% of the 250 plus Zacks industries. Our analysis reveals that the highest 50% of the Zacks-ranked industries outperform the underside 50% by an element of greater than 2 to 1.
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Nordstrom, Inc. (JWN): Free Inventory Evaluation Report
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The views and opinions expressed herein are the views and opinions of the writer and don’t essentially mirror these of Nasdaq, Inc.