Se ha denunciado esta presentación.
Utilizamos tu perfil de LinkedIn y tus datos de actividad para personalizar los anuncios y mostrarte publicidad más relevante. Puedes cambiar tus preferencias de publicidad en cualquier momento.

5 Reasons Nordstrom, Inc. Shareholders Should be Optimistic About the Future

7.201 visualizaciones

Publicado el

America's favorite high end department store has been bruised and battered the last 3 months - here's why shareholders can rest easy.

  • Download The Complete Lean Belly Breakthrough Program with Special Discount. ♣♣♣ https://tinyurl.com/bkfitness4u
       Responder 
    ¿Estás seguro?    No
    Tu mensaje aparecerá aquí
  • Is it possible to improve your memory? How can I improve my memory recall? more info... ◆◆◆ https://tinyurl.com/brainpill101
       Responder 
    ¿Estás seguro?    No
    Tu mensaje aparecerá aquí
  • How to improve brain memory power naturally? Boost your brainpower with brain pill now...  https://bit.ly/2GEWG9T
       Responder 
    ¿Estás seguro?    No
    Tu mensaje aparecerá aquí
  • 22lbs GONE in 13 days with this strange carb-pairing trick.. ♣♣♣ http://t.cn/AiYhcYmI
       Responder 
    ¿Estás seguro?    No
    Tu mensaje aparecerá aquí
  • Amazing all-natural clear skin breakthrough permanently eliminates acne without drugs, creams or over the counters. Stop wasting money on pills, gels, and other worthless quick fix cures.. Learn the truth about acne once and for all and finally get the LASTING clear skin you deserve  https://bit.ly/2xJfKi2
       Responder 
    ¿Estás seguro?    No
    Tu mensaje aparecerá aquí

5 Reasons Nordstrom, Inc. Shareholders Should be Optimistic About the Future

  1. 1. 5 Reasons Nordstrom Inc. Shareholders Should be Optimistic About the Future
  2. 2. Rough third quarter • Nordstrom (NYSE: JWN) reported third quarter earnings on Nov. 12, 2015: – Sales increase of 6.6% – Comparable store sales up 0.9% – Net Income of $0.43 per share • Includes $0.17 per share of one-time expenses related to sale of credit card portfolio • Represents 20% drop from same quarter last year
  3. 3. Rough third quarter • Shares in Nordstrom and its peers quickly sold off in the face of lackluster sales results: – Macy’s (NYSE: M) shares dropped following disappointing same store sales results of (3.9%) on Nov. 11, 2015 – Despite strong comparable results, J.C. Penney was dragged down with the sector
  4. 4. But wait . . . Despite these poor quarterly results, Nordstrom has a bright future.
  5. 5. #1: Investing in a connected world • Nordstrom is fully aware that the retail landscape has changed drastically over the last 20 years – Investing in mobile purchase-and-pickup applications – Invested in three enormous fulfillment warehouses • This has already born fruit: – Online sales were 8% of revenue in FY 2010 – Projected to be 25% of revenue in FY 2020 • Goal is to provide the “richness of stores with convenience of online”
  6. 6. #2: Expanding customer base • Nordstrom has been successfully expanding beyond traditional department stores • Nordstrom Rack, its off-price chain initiative, continues to exceed expectations: – Has grown from 86 locations in FY 2010 to over 194 today – Expected to grow to over 300 locations by FY 2020 • Purchased personalized clothing online retailer “Trunk Club” – Integrating with the rest of Nordstrom’s offerings
  7. 7. #3: Canadian expansion • Nordstrom currently has plans to break into Canadian market in a big way – $1 billion estimated sales potential – Calgar, Ottawa, and Vancouver flagship stores already open – Three stores planned for Toronto in the next year • Early results are extremely positive – Stores already open in Canadian market experienced record- setting openings
  8. 8. #4: Continuing a history of innovation • Nordstrom building up strong fulfillment capabilities for online purchases • Currently has three enormous facilities across U.S. – Cedar Rapids, IA for full-price order fulfillment – Elizabethtown, PA for full-price order fulfillment – San Bernadino, CA for off-price order fulfillment • Offering free shipping and returns in order to engender customer use and loyalty
  9. 9. #4: Continuing a history of innovation Source: Nordstrom Inc. Investor Presentation December 7, 2015
  10. 10. #5: A history of outperformance • One quarter does not a company make • Nordstrom has a history of strong operating performance • Five-year average return on equity of 35% • Five-year average annual sales growth of 7.1% • Five-year average earnings per share growth of 6.2% • Nordstrom projected to continue to grow at a decent clip through end of the decade • FY 2020 EPS estimate of $4.96 • Implies annualized earnings per share growth of 7.8% through the end of the decade
  11. 11. Foolish Final Thoughts • Disillusioned Nordstrom shareholders need not fear • Long-term picture is solid • Nordstrom continues to invest in the future while still operating an exceptional retail operation • Given current price-to-earnings of 13.4 times and forward growth profile, the sky is definitely not falling
  12. 12. The next billion-dollar iSecret The world's biggest tech company forgot to show you something at its recent event, but a few Wall Street analysts and the Fool didn't miss a beat: There's a small company that's powering their brand-new gadgets and the coming revolution in technology. And we think its stock price has nearly unlimited room to run for early-in-the-know investors! To be one of them, just click here.

×