NORDSTROM INC (JWN) Fundamental Analysis & Valuation
NYSE:JWN • US6556641008
Current stock price
24.66 USD
+0.02 (+0.08%)
At close:
24.6601 USD
0 (0%)
After Hours:
This JWN fundamental analysis includes valuation metrics, fair value assessment, financial health analysis, profitability trends, growth metrics and dividend sustainability analysis.
1. JWN Profitability Analysis
1.1 Basic Checks
- JWN had positive earnings in the past year.
- In the past year JWN had a positive cash flow from operations.
- JWN had positive earnings in 4 of the past 5 years.
- JWN had a positive operating cash flow in 4 of the past 5 years.
1.2 Ratios
- JWN has a better Return On Assets (3.29%) than 61.29% of its industry peers.
- JWN's Return On Equity of 25.88% is amongst the best of the industry. JWN outperforms 87.10% of its industry peers.
- JWN's Return On Invested Capital of 7.75% is fine compared to the rest of the industry. JWN outperforms 64.52% of its industry peers.
- Measured over the past 3 years, the Average Return On Invested Capital for JWN is in line with the industry average of 9.12%.
- The last Return On Invested Capital (7.75%) for JWN is above the 3 year average (7.32%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.29% | ||
| ROE | 25.88% | ||
| ROIC | 7.75% |
ROA(3y)2.56%
ROA(5y)0.49%
ROE(3y)24.91%
ROE(5y)-24.17%
ROIC(3y)7.32%
ROIC(5y)N/A
1.3 Margins
- With a decent Profit Margin value of 1.96%, JWN is doing good in the industry, outperforming 61.29% of the companies in the same industry.
- JWN's Profit Margin has declined in the last couple of years.
- Looking at the Operating Margin, with a value of 3.66%, JWN is in line with its industry, outperforming 51.61% of the companies in the same industry.
- JWN's Operating Margin has declined in the last couple of years.
- The Gross Margin of JWN (37.43%) is worse than 64.52% of its industry peers.
- In the last couple of years the Gross Margin of JWN has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.66% | ||
| PM (TTM) | 1.96% | ||
| GM | 37.43% |
OM growth 3Y-0.3%
OM growth 5Y-8.18%
PM growth 3Y17.61%
PM growth 5Y-9.33%
GM growth 3Y0.55%
GM growth 5Y0.77%
2. JWN Health Analysis
2.1 Basic Checks
- JWN has a Return on Invested Capital (ROIC), which is below the Cost of Capital (WACC), which means it is destroying value.
- JWN has more shares outstanding than it did 1 year ago.
- The number of shares outstanding for JWN has been increased compared to 5 years ago.
- Compared to 1 year ago, JWN has an improved debt to assets ratio.
2.2 Solvency
- An Altman-Z score of 1.90 indicates that JWN is not a great score, but indicates only limited risk for bankruptcy at the moment.
- With a Altman-Z score value of 1.90, JWN perfoms like the industry average, outperforming 51.61% of the companies in the same industry.
- The Debt to FCF ratio of JWN is 3.49, which is a good value as it means it would take JWN, 3.49 years of fcf income to pay off all of its debts.
- JWN has a Debt to FCF ratio of 3.49. This is comparable to the rest of the industry: JWN outperforms 58.06% of its industry peers.
- JWN has a Debt/Equity ratio of 2.30. This is a high value indicating a heavy dependency on external financing.
- The Debt to Equity ratio of JWN (2.30) is worse than 80.65% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.3 | ||
| Debt/FCF | 3.49 | ||
| Altman-Z | 1.9 |
ROIC/WACC0.78
WACC9.92%
2.3 Liquidity
- JWN has a Current Ratio of 1.19. This is a normal value and indicates that JWN is financially healthy and should not expect problems in meeting its short term obligations.
- JWN has a worse Current ratio (1.19) than 74.19% of its industry peers.
- JWN has a Quick Ratio of 1.19. This is a bad value and indicates that JWN is not financially healthy enough and could expect problems in meeting its short term obligations.
- Looking at the Quick ratio, with a value of 0.51, JWN is doing worse than 87.10% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.51 |
3. JWN Growth Analysis
3.1 Past
- JWN shows a small growth in Earnings Per Share. In the last year, the EPS has grown by 1.42%.
- Measured over the past years, JWN shows a decrease in Earnings Per Share. The EPS has been decreasing by -8.54% on average per year.
- JWN shows a small growth in Revenue. In the last year, the Revenue has grown by 2.21%.
- The Revenue has been decreasing by -0.66% on average over the past years.
EPS 1Y (TTM)1.42%
EPS 3Y26.58%
EPS 5Y-8.54%
EPS Q2Q%14.58%
Revenue 1Y (TTM)2.21%
Revenue growth 3Y0.51%
Revenue growth 5Y-0.66%
Sales Q2Q%-2.19%
3.2 Future
- The Earnings Per Share is expected to grow by 15.79% on average over the next years. This is quite good.
- The Revenue is expected to grow by 2.12% on average over the next years.
EPS Next Y-3.7%
EPS Next 2Y-4.07%
EPS Next 3Y3.55%
EPS Next 5Y15.79%
Revenue Next Year2.01%
Revenue Next 2Y1.73%
Revenue Next 3Y1.3%
Revenue Next 5Y2.12%
3.3 Evolution
- The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
- The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. JWN Valuation Analysis
4.1 Price/Earnings Ratio
- A Price/Earnings ratio of 11.47 indicates a reasonable valuation of JWN.
- Based on the Price/Earnings ratio, JWN is valued a bit cheaper than 77.42% of the companies in the same industry.
- The average S&P500 Price/Earnings ratio is at 25.70. JWN is valued rather cheaply when compared to this.
- JWN is valuated reasonably with a Price/Forward Earnings ratio of 11.91.
- JWN's Price/Forward Earnings ratio is a bit cheaper when compared to the industry. JWN is cheaper than 74.19% of the companies in the same industry.
- When comparing the Price/Forward Earnings ratio of JWN to the average of the S&P500 Index (23.84), we can say JWN is valued rather cheaply.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.47 | ||
| Fwd PE | 11.91 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of JWN indicates a rather cheap valuation: JWN is cheaper than 83.87% of the companies listed in the same industry.
- Compared to the rest of the industry, the Price/Free Cash Flow ratio of JWN indicates a rather cheap valuation: JWN is cheaper than 90.32% of the companies listed in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 5.49 | ||
| EV/EBITDA | 4.95 |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-4.07%
EPS Next 3Y3.55%
5. JWN Dividend Analysis
5.1 Amount
- JWN has a Yearly Dividend Yield of 2.37%. Purely for dividend investing, there may be better candidates out there.
- Compared to an average industry Dividend Yield of 0.64, JWN pays a better dividend. On top of this JWN pays more dividend than 83.87% of the companies listed in the same industry.
- Compared to an average S&P500 Dividend Yield of 1.89, JWN pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.37% |
5.2 History
- The dividend of JWN decreases each year by -12.34%.
- JWN has paid a dividend for at least 10 years, which is a reliable track record.
- The dividend of JWN decreased in the last 3 years.
Dividend Growth(5Y)-12.34%
Div Incr Years0
Div Non Decr Years2
5.3 Sustainability
- 42.03% of the earnings are spent on dividend by JWN. This is a bit on the high side, but may be sustainable.
DP42.03%
EPS Next 2Y-4.07%
EPS Next 3Y3.55%
JWN Fundamentals: All Metrics, Ratios and Statistics
24.66
+0.02 (+0.08%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)05-28 2025-05-28/amc
Earnings (Next)08-25 2025-08-25/amc
Inst Owners52.71%
Inst Owner Change-11.8%
Ins Owners25.6%
Ins Owner Change0%
Market Cap4.12B
Revenue(TTM)15.02B
Net Income(TTM)295.00M
Analysts50.48
Price Target24.23 (-1.74%)
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.37% |
Yearly Dividend0.76
Dividend Growth(5Y)-12.34%
DP42.03%
Div Incr Years0
Div Non Decr Years2
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)36.31%
Min EPS beat(2)18.42%
Max EPS beat(2)54.21%
EPS beat(4)3
Avg EPS beat(4)-27.67%
Min EPS beat(4)-216.28%
Max EPS beat(4)54.21%
EPS beat(8)7
Avg EPS beat(8)29.54%
EPS beat(12)11
Avg EPS beat(12)31.34%
EPS beat(16)13
Avg EPS beat(16)22.71%
Revenue beat(2)1
Avg Revenue beat(2)0.98%
Min Revenue beat(2)-0.55%
Max Revenue beat(2)2.52%
Revenue beat(4)2
Avg Revenue beat(4)1.11%
Min Revenue beat(4)-1.02%
Max Revenue beat(4)3.48%
Revenue beat(8)5
Avg Revenue beat(8)0.53%
Revenue beat(12)8
Avg Revenue beat(12)1.15%
Revenue beat(16)12
Avg Revenue beat(16)1.72%
PT rev (1m)0%
PT rev (3m)1.84%
EPS NQ rev (1m)-72.24%
EPS NQ rev (3m)-71.92%
EPS NY rev (1m)-0.57%
EPS NY rev (3m)-1.71%
Revenue NQ rev (1m)-0.35%
Revenue NQ rev (3m)-0.26%
Revenue NY rev (1m)-0.12%
Revenue NY rev (3m)-0.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.47 | ||
| Fwd PE | 11.91 | ||
| P/S | 0.27 | ||
| P/FCF | 5.49 | ||
| P/OCF | 3.25 | ||
| P/B | 3.62 | ||
| P/tB | 4.63 | ||
| EV/EBITDA | 4.95 |
EPS(TTM)2.15
EY8.72%
EPS(NY)2.07
Fwd EY8.4%
FCF(TTM)4.49
FCFY18.21%
OCF(TTM)7.58
OCFY30.72%
SpS89.8
BVpS6.82
TBVpS5.33
PEG (NY)N/A
PEG (5Y)N/A
Graham NumberN/A
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 3.29% | ||
| ROE | 25.88% | ||
| ROCE | 9.34% | ||
| ROIC | 7.75% | ||
| ROICexc | 9.41% | ||
| ROICexgc | 9.92% | ||
| OM | 3.66% | ||
| PM (TTM) | 1.96% | ||
| GM | 37.43% | ||
| FCFM | 5% |
ROA(3y)2.56%
ROA(5y)0.49%
ROE(3y)24.91%
ROE(5y)-24.17%
ROIC(3y)7.32%
ROIC(5y)N/A
ROICexc(3y)8.48%
ROICexc(5y)N/A
ROICexgc(3y)8.94%
ROICexgc(5y)N/A
ROCE(3y)8.82%
ROCE(5y)N/A
ROICexgc growth 3Y2.96%
ROICexgc growth 5Y-6.81%
ROICexc growth 3Y2.82%
ROICexc growth 5Y-6.9%
OM growth 3Y-0.3%
OM growth 5Y-8.18%
PM growth 3Y17.61%
PM growth 5Y-9.33%
GM growth 3Y0.55%
GM growth 5Y0.77%
F-Score7
Asset Turnover1.67
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.3 | ||
| Debt/FCF | 3.49 | ||
| Debt/EBITDA | 2.27 | ||
| Cap/Depr | 85.57% | ||
| Cap/Sales | 3.44% | ||
| Interest Coverage | 4.36 | ||
| Cash Conversion | 109.98% | ||
| Profit Quality | 254.58% | ||
| Current Ratio | 1.19 | ||
| Quick Ratio | 0.51 | ||
| Altman-Z | 1.9 |
F-Score7
WACC9.92%
ROIC/WACC0.78
Cap/Depr(3y)86.99%
Cap/Depr(5y)80.06%
Cap/Sales(3y)3.45%
Cap/Sales(5y)3.47%
Profit Quality(3y)162.44%
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)1.42%
EPS 3Y26.58%
EPS 5Y-8.54%
EPS Q2Q%14.58%
EPS Next Y-3.7%
EPS Next 2Y-4.07%
EPS Next 3Y3.55%
EPS Next 5Y15.79%
Revenue 1Y (TTM)2.21%
Revenue growth 3Y0.51%
Revenue growth 5Y-0.66%
Sales Q2Q%-2.19%
Revenue Next Year2.01%
Revenue Next 2Y1.73%
Revenue Next 3Y1.3%
Revenue Next 5Y2.12%
EBIT growth 1Y2.62%
EBIT growth 3Y0.2%
EBIT growth 5Y-8.79%
EBIT Next Year115.06%
EBIT Next 3Y36.23%
EBIT Next 5Y23.63%
FCF growth 1Y1344.23%
FCF growth 3Y55.69%
FCF growth 5Y20.06%
OCF growth 1Y104.03%
OCF growth 3Y21.58%
OCF growth 5Y0.5%
NORDSTROM INC / JWN Fundamental Analysis FAQ
What is the ChartMill fundamental rating of NORDSTROM INC (JWN) stock?
ChartMill assigns a fundamental rating of 4 / 10 to JWN.
What is the valuation status of NORDSTROM INC (JWN) stock?
ChartMill assigns a valuation rating of 6 / 10 to NORDSTROM INC (JWN). This can be considered as Fairly Valued.
Can you provide the profitability details for NORDSTROM INC?
NORDSTROM INC (JWN) has a profitability rating of 5 / 10.
What is the valuation of NORDSTROM INC based on its PE and PB ratios?
The Price/Earnings (PE) ratio for NORDSTROM INC (JWN) is 11.47 and the Price/Book (PB) ratio is 3.62.
How financially healthy is NORDSTROM INC?
The financial health rating of NORDSTROM INC (JWN) is 3 / 10.