Nordstrom's Upside Is Limited, Not Worth Taking The Risk

Oct. 07, 2021 4:12 AM ETNordstrom, Inc. (JWN) StockJWN23 Comments
Mitko Atanasov
267 Followers

Summary

  • Recent share pullback has put Nordstrom in line with the other retailers.
  • Nordstrom is trading at 18x earnings for 2021 and only 12.5 for 2022, just under the historical average of 15x.
  • Nordstrom should see a gradual increase in profits in the next couple of years.
  • The stock is highly sensitive to market news.
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Nordstrom's (JWN) most recent quarter has brought some concerning news about growth. The retailer failed to deliver higher revenue than Q2 of 2019, therefore missing the consensus among analysts. The comment made by the CEO and

This article was written by

267 Followers
Mitko Atanasov holds an MA in Finance and has served as an equity analyst for one of the UK's largest asset management firms. His Personal stock market experience began in 2010 as a long-term investor. Since then, he has capitalized on opportunities for short- to medium-term investment and market volatility.

Analyst’s Disclosure:I/we have no stock, option or similar derivative position in any of the companies mentioned, and no plans to initiate any such positions within the next 72 hours. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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