Nordstrom Stock Analysis, Valuation (NYSE:JWN)
Nordstrom Stock Analysis
Take a look at Amigobulls Nordstrom stock analysis video. Our analyst opinion covering the buy and sell arguments for JWN stock is shown in the video.
Note: Amigobulls stock rating is our opinion based on the historical performance of the company's fundamentals. It is not indicative of the future performance of the stock.
Nordstrom, Inc. Stock Rating 3.4/5
We at Amigobulls use various financial measures including profit margins, revenue growth and dividends for JWN stock analysis. We also use relative valuation metrics like PE ratio and price to sales ratio for Nordstrom valuation analysis. Nordstrom stock rating is our opinion about the business fundamentals of the company.
Should you buy JWN stock?
- The company saw a significant growth in revenue with a 5 year CAGR of 5.4%.
- The company has an operating cash flow which is 5.3 times the net income.
- The price to earnings multiple of 16.2 is attractive when compared with the industry average PE ratio of 19.9.
- JWN stock is trading at a favorable price to sales multiple of 0.5 as against the Retail-Apparel-Shoe industry average multiple of 0.7.
- Nordstrom has an attractive ROIC (Return on Invested Capital) of 15.2%
- Return On Equity (ROE) which is a measure of the company's profitability, looks great for Nordstrom at 52.6%.
- Nordstrom has a healthy FCF (Free Cash Flow) margin of 13.2%.
Nordstrom Related Company Stock Videos
Investors can use Amigobulls Nordstrom stock analysis as a tool to arrive at accurate conclusions regarding financial health of the company and its valuation. Fundamental analysis of a company is the most often used approach to find the intrinsic value of a stock.
While doing a study of the company financials, Nordstrom revenue growth and profit or net income are two main metrics which help in identifying whether JWN stock is overvalued or undervalued. Technical analysis comes in handy to check whether the market sentiment is in line with the fundamental picture of the company.