46.05 +0.28 (0.61%)
After hours: 7:01PM EDT
|Bid||0.00 x 800|
|Ask||0.00 x 1000|
|Day's Range||45.61 - 46.55|
|52 Week Range||37.79 - 54.00|
|PE Ratio (TTM)||17.67|
|Forward Dividend & Yield||1.48 (2.98%)|
|1y Target Est||N/A|
It was a big week for retail, and while retail sales were good, it was a mixed bag for earnings. Yahoo Finance's Jennifer Rogers and Myles Udland have a retail round up.
Yahoo Finance's Seana Smith on the stocks making headlines in intraday trading.
Shares of Gap (GPS) have climbed 10% over the last four weeks in a sign that investors might be anticipating strong quarterly financial results from the retailer. Let's take a look to see what they should really expect from Gap in the first quarter.
Nordstrom's (JWN) focus on expanding stores is noteworthy. It announces plans to open two Nordstrom Rack outlets in Los Angeles, CA.
Kohl's on Tuesday reported much-better-than-expected first-quarter earnings. J.C. Penney CEO Marvin Ellison will become Lowe's CEO. He previously was a top Home Depot executive.
Ryan McQueeney highlights the specific concessions made by the U.S. and China amid ongoing trade negotiations between the two nations. He also prepares investors for Mark Zuckerberg's EU testimony and chats with Zacks Strategist Dave Bartosiak about the latest trends in retail stocks following Q1 earnings season.
On May 18, Nordstrom’s (JWN) 12-month forward PE (price-to-earnings) multiple declined 11.4% to 13x. As discussed previously in this series, Nordstrom exceeded analysts’ revenue and earnings expectations, but investors were disappointed with the slowdown in the company’s same-store sales growth rate. As of May 18, Nordstrom’s department store peers Macy’s (M) and Kohl’s (KSS) were trading at 12-month forward PEs of 9.3x and 11.9x, respectively.
Nordstrom’s (JWN) gross and operating margins declined in the fiscal first quarter, which ended on May 5. The company’s gross margin as a percentage of retail net sales declined 21 basis points on a year-over-year basis to about 34.1% in the fiscal first quarter. The decline in the gross margin was primarily caused by higher occupancy expenses related to the US and Canada Rack store openings and the pre-opening expenses associated with the Nordstrom men’s store.
Nordstrom (JWN) generated revenue of $3.6 billion in the fiscal first quarter of 2018, which ended on May 5. Nordstrom’s revenue consists of its retail net sales and credit card revenue. In the fiscal first quarter, the company’s retail net sales grew 5.8% to $3.5 billion.
It has been a busy week for retailers, with industry giants from Macy’s Inc (NYSE:M) to Nordstrom, Inc. (NYSE:JWN) all reporting their first-quarter earnings results. With that said, there are clearly still gains to be had from retail stocks even as worries about Amazon (AMZN) and other online sellers mount. Investors just need to look in the right places and search for stocks that are expected to top quarterly earnings estimates.
Nordstrom’s (JWN) adjusted EPS (earnings per share) of $0.51 for the fiscal first quarter of 2018 handily surpassed the consensus analyst estimate of $0.43. Nordstrom’s adjusted EPS grew 18.6% on a year-over-year basis in the fiscal first quarter. Aside from higher revenue, Nordstrom’s adjusted EPS growth in the fiscal first quarter was also driven by lower taxes.
With the exception of small caps, major U.S. stock indices took a breather this past week. That actually bodes well for the bull case, in my opinion. With that in mind, let’s get a look at our top stock trades for this week.Top Stock Trades for Monday #1: PayPal (PYPL)
Nordstrom (JWN) stock fell 10.9% on May 18 in reaction to the company’s lower-than-expected comps or same-store sales growth for the fiscal first quarter of 2018. Nordstrom announced its first-quarter results after the close of financial markets on May 17. Nordstrom exceeded analysts’ revenue and earnings expectations for the fiscal first quarter, but a slowdown in same-store sales growth bothered investors.
Nordstrom Inc., known for its high-end department stores, reported first-quarter earnings that showed strength online but weak same-store sales across both full-line and off-price channels. “In off-price, sales were slightly below our plan reflecting outsized digital growth offset by Nordstrom Rack stores’ performance,” said Nordstrom’s (JWN) Chief Financial Officer Anne Bramman on the earnings call, according to a FactSet transcript. Nordstrom is also opening a full-line department store in New York in 2019 after opening a men’s store in the city this past quarter.
As wages and transportation costs climb, retailers must be more efficient to keep costs down, say analysts.
Same-store sales jumped 3.9% on an owned basis vs. expectations of up 0.7% and the company reported first-quarter adjusted earnings of 42 cents a share, beating analysts' consensus of 37 cents, and 26 cents from the same period last year. , Walmart reported stronger-than-expected earnings for the three months ending in April, which came in at $1.14 per share, 2 cents ahead of the consensus forecast.
Nordstrom's first quarter sales results disappointed Wall Street analysts, sending the stock down nearly 11 percent Friday.
Retailers issued a barrage of quarterly reports this week that for the most part reinforced the sell-side's prior ratings. Here are some of the analyst's reactions. JCPenney's 'Disappointing' Quarter ...
In the age of Amazon.com (AMZN), retailers need to give consumers reasons not to just shop at the e-commerce giant, and given that competing on price is often a losing game, many are opting to highlight their customer service and the shopping experience, instead.
It has been a busy week for retailers, with industry giants from Macy's (M) to Nordstrom (JWN) all reporting their first quarter earnings results. But Q1 hasn't treated all of these companies the same, so let's take a look at a few more big-name retailers that investors might want to consider buying ahead of earnings next week.
As the U.K. is dolling up for the royal wedding tomorrow, we may well regale in stocks of luxury goods that are being well-liked by investors. Understandably, after a robust 2017 and a splendid first quarter, U.S. luxury goods’ stocks seem poised for a great year thanks to optimism surrounding steady economic growth, lower tax rates, strong wage growth and a robust earnings season. Strong revenues registered by a number of luxury brands along with an increasing number of millennials spending more on luxury goods bode well too. This willingness to spend more can be traced back to high U.S. consumer confidence and consumer spending.