Telsey Advisory Group analyst Dana Telsey reiterated a Market Perform rating on the shares of Nordstrom Inc
This year, Nordstrom's Anniversary Sale is running for 21 days, from Monday, July 17 until Sunday, August 6, which is longer and scheduled later than last year.
The analyst said the 2023 Anniversary Sale now straddles Q2 and Q3, which the management thinks will negatively impact Q2 sales while lifting Q3 sales by approximately 200 basis points.
In the Q1 earnings call, JWN said about the addition of new brands in the Anniversary Sales. New brands this year include Allbirds, Cotopaxi, Dyson Hair Care, Larroude, Le Creuset, Our Place, and Parachute, the analyst noted.
As far as marketing goes, the company has sent a 60-page mailer catalog to homes in the last week of June.
The analyst recalled that consumer was under increasing pressure during last year's Anniversary Sale.
JWN has noted that its consumer, which remains pressured, is still responding well to newness, which could bode well for the Anniversary Sale.
The analyst believes JWN has additional company-specific merchandising issues across its banners that it is addressing.
The analyst is interested in JWN's ability to drive traffic and topline with its customer-focused changes to its Anniversary Sale.
Price Action: JWN shares are trading lower by 1.67% at $20.28 on the last check Wednesday.
