Monday, June 4, 2007


Nordstrom (JWN) is a retail outlet providing high-end clothing and accessories. Located throughout the US, Nordstrom has recently hired Madison Retail Group to help find its first location in Manhattan. The new location will provide Nordstrom with the opportunity to service a diversified and competitive market. Nordstrom offers high-end clothing that is contemporary to appeal to the younger generations. Saks (SKS) and Neiman Marcus offer high-end products, but are not as appealing to the younger generations as Nordstrom. Saks is overpriced and stuffy which drives away a lot of the younger crowds. Nordstrom although quite expensive has items that will fit almost all budgets. I recently visited the North Dallas Nordstrom location and was pleasantly surprised by the variety and quality of clothing they offer. With a huge selection of suites and dress clothing Nordstrom has an impressive men’s department which will likely be embraced by the NY crowds.

Nordstrom has been holding steady around $53 a share for the past few months, but is due for a run. Nordstrom has a p/e ratio of 20 and a forward p/e of 16. With a quarterly revenue growth over 9% and a market cap of 13 billion Nordstrom has strong financials. Nordstrom appears to have all the qualities of a good growth stock. If you are looking for a high-end retail stock that has strong financials and great growth potential this is the stock for you.

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