Nordstrom's shares fall by 7%
One of the biggest department store companies in the United States of America has let its investors down.
There is a possibility that Nordstrom investors across the globe are reconsidering their investment decision in the company after its quarterly report went public.
Nordstrom’s quarterly report announced its loss of $166 million, causing it to record a net profit of $3.01 billion which is more than the $2.90 billion that financial analysts had predicted. Despite this, the company’s shares fell by 7%.
Nordstrom’s management explained that the high cost of labor, shipping, and issues within the apparel industry have put a strain on the company in the past year.
The company hinted at its expansion within its women, children, and home shopping categories, ensuring that there is more of a variety for its customers to pick from.
However, Nordstrom’s market capitalization of $5.8 million has stayed intact and financial analysts are predicting that the company’s shares will retrace and it will do more in the next quarter in terms of earnings.