A Nordstrom earnings forecast has claimed that the retailer's share price will drop further than expected for Q2 2017. This comes after the already dismal performance of the company for the last quarter.
BBNS reported that investment analysts at KeyCorp has cut up their Q2 2017 EPS estimates for Nordstrom's earnings in a research report on Thursday. It was forecasted that the company's earnings is expected to be at $0.57 per share for the quarter.
The number has dropped further from the previous $0.62 estimate. Nordstrom has been the subject of other research reports.
In their May 14 report, Sterne Agee CRT restated a "hold" rating on Nordstrom's shares. The company was rated with a "sell" to a "strong sell" by Vetr, with a $43.00 price objective for the retailer.
Citigroup Inc. also decreased their price objective on Nordstrom from $49.00 to $40.00. They also set a "neutral" rating for the struggling company.
It was previously reported that Nordstrom's stock fell to 11 percent in April. Its peers, Gap, Macy's and J.C. Penney all fell by about 10 percent or more.
"Our first-quarter results were impacted by lower-than-expected sales," Blake Nordstrom, the company's co-president, said in a statement last May. "In response, we have made further adjustments to our inventory and expense plans. As the pace of change in retail continues to accelerate, we remain committed to serving customers by taking steps that will continue to meet their expectations while driving profitable growth."
According to StreetInsider.com, Piper Jaffray analyst Neely Tamminga has low expectations for Nordstrom's Anniversary Sale, set to kick off this week on Jul. 13 (pre-shop) and Jul. 22 (public sale). The analyst is currently looking at a -4.2 percent comp for FQ2.
Nordstrom's Anniversary Sale is believed to have slightly lower average price point at $88 compared to last year's $92. Lackluster sales may be an issue during the sale as well.