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Credit Suisse sees fair pricing on Nordstrom

Published 07/11/2018, 10:29 AM
© Reuters.  Credit Suisse sees fair pricing on Nordstrom
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  • Credit Suisse (SIX:CSGN) calls Nordstrom (JWN +1.2%) fairly priced at its current level with opportunities and risks equally balanced.
  • "At a 14.8x P/E (KSS 13x, M 12x ex-real estate), JWN is already priced for an extended period of above-peer EBIT growth," writes analyst Michale Binetti and team.
  • "Share repos will support EPS above current Consensus, but further multiple expansion likely requires more visibility on LT SSS sustainability or investments scaling faster than planned," reads the CS note.
  • The firm keeps a Neutral rating on Nordstrom and takes the price target to $52 from $50, which works out to roughly 6X the 2019 EBITDA forecast.
  • Now read: L Brands (NYSE:LB): Acceleration Of E-Commerce Sales In May


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