Nordstrom Stock Analysis, Valuation (NYSE:JWN)
Nordstrom Stock Analysis
View Nordstrom stock analysis video. This is our analyst opinion covering the buy and sell arguments for JWN stock.
Nordstrom, Inc. Stock Rating 3.1/5
Our Nordstrom stock opinion is based on fundamentals of the company. This Nordstrom stock analysis is based on latest 2018 Q2 earnings. The stock price analysis takes into account the company's valuation metrics.
Should you buy JWN stock?
- Nordstrom sales grew by 3.9% year on year in 2018 Q2.
- Long term revenue growth has been strong with a 5 year compounded annual growth of 6.1%.
- The company has an operating cash flow which is 4.4 times the net income. We see this as a positive signal.
- The price to earnings multiple of 14.1 is attractive when compared with the industry average PE ratio of 17.5.
- When compared with the Retail-Apparel-Shoe industry average PS ratio of 0.7, the price-to-sales ratio of 0.5 for JWN stock is attractive.
- Nordstrom's return on invested capital of 12.7% is good.
- The LTM ROE of 44.1% for Nordstrom is attractive.
- The company has a healthy free cash flow margin of 7.8%.