Retail

What to Expect When Nordstrom Reports After the Close

Nordstrom Inc. (NYSE: JWN) is scheduled to release its most recent quarterly results after the markets close on Tuesday. The consensus estimates are $1.47 in earnings per share (EPS) and $4.56 billion in revenue. The fiscal fourth quarter of last year reportedly had $1.48 in EPS and $4.48 billion in revenue.

The company previously issued guidance for the 2019 fiscal full year calling for EPS in the range of $3.30 to $3.50. Nordstrom had notched a cumulative $1.94 in EPS at that time, so Nordstrom seemed to be guiding for $1.36 to $1.56 in EPS for the fiscal fourth quarter.

In the third quarter, sales trends improved across Nordstrom’s Full-Price and Off-Price businesses through aggressive actions taken during the year related to loyalty, digital marketing and merchandise assortment.

At that time, Full-Price net sales decreased 4.1% compared with the same period in fiscal 2018. Off-Price net sales increased 1.2%. Total company digital sales grew 7% and represented 34% of the business.

Excluding Tuesday’s move, Nordstrom stock had underperformed the broad markets with a decline of about 16% year to date. In the past 52 weeks, the stock was down closer to 26%.

Here’s what analysts had to say ahead of the report:

  • BMO Capital Markets has a Market Perform rating and a $39 target.
  • Odeon Capital’s Buy rating comes with a $45 target price.
  • Gordon Haskett rates it as Accumulate with a $48 price target.
  • JPMorgan has a Neutral rating with a $41 price target.
  • Credit Suisse has a Hold rating and a $33 price target.

Nordstrom stock traded up about 1.5% at $34.96 on Tuesday, in a 52-week range of $25.01 to $46.20. The consensus analyst target is $37.89.