Nordstrom: Here’s What Investors Need to Know Before Earnings

Nordstrom (NYSE:JWN) will report earnings after markets close on Thursday, May 16th. Nordstrom, Inc. is a fashion retailer of apparel, shoes, and accessories for men, women, and children. The Company operates through multiple retail channels, discount stores, boutiques, catalogs, and on the Internet. Nordstrom, Inc. also offers, through a subsidiary, private label card credit and debit cards.

Here is your Cheat Sheet to Nordstrom Earnings:

Earnings Expectations: Analysts expect earnings of $0.76 per share on revenues of $2.81 billion. Currently, the company’s P/E ratio stands at 16.43.

Analyst Trends:

Analysts have a more negative outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings has fallen from a profit of $0.9 to a profit $0.87. For the current year, the average estimate is a profit of $3.8, which is worse than the estimate ninety days ago.

Earnings Trends:

Here’s how Nordstrom has been performing on an annual basis:

Fiscal Year 2009 2010 2011 2012 2013
Revenue ($) in millions 8,573 8,627 9,700 10,880 12,150
Diluted EPS ($) 1.83 2.01 2.75 3.14 3.56

Next, our CHEAT SHEET investing framework asks us to drill down to the recent quarterly data:

Quarter Jan. 31, 2012 Apr. 30, 2012 Jul. 31, 2012 Oct. 31, 2012 Jan. 31, 2013
Revenue ($) in millions 3,266 2,629 3,009 2,808 3,702
Diluted EPS ($) 1.113 0.70 0.75 0.71 1.405

Past Performance:
Nordstrom has beat analyst estimates 2 times in the past four quarters. This is not consistent enough to get bullish yet.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at]