Shares in upscale department store chain Nordstrom (JWN) fell sharply ahead of Wednesday’s opening bell after the company issued a softer than expected full-year outlook as customers have become more price-sensitive.

The Seattle-based retailer said it expects full-year fiscal 2024 revenue to range from a 2% decline to a 1% gain year-over-year, whereas analysts had projected that sales will be flat. The company sees 澳洲幸运5官方开奖结果体彩网:earnings per share (EPS) for the period coming in between $1.65 and $2.05, with the $1.85 midpoint of that band falling considerably short of the $2.01 a share consensus mark.

On the company’s earnings call, Nordstrom CEO Erik Nordstrom told analysts that both store and website traffic remains soft but had improved sequentially throughout fiscal 2023, adding that the average order value in both categories was rising.

For the fiscal 2023 fourth quarter ending Feb. 3, the retailer posted 澳洲幸运5官方开奖结果体彩网:adjusted earnings of 96 cents per share on revenue of $4.42 billion, surpassing forecasts of 88 cents a share on sales of $4.39 billion. The top line grew 2.3% from a year earlier and received a $190 million boost from having one additional week in the fiscal year.

Sales at the mall anchor’s namesake banner stores slipped 3% from last year's equivalent quarter but grew 14.6% from a year earlier at its Nordstrom Rack off-price brand, indicating price-conscious customers were prioritizing value when shopping over the holiday period. The company said it plans to open a further 22 Nordstrom Rack stores this year.

"We're laser-focused on efforts we know will drive growth and profitability across the business over the next few years, including new Rack store openings, Nordstrom digital growth and increasing comp store sales," Chief Executive Officer Erik Nordstrom said in the company's earnings release.

Nordstrom shares recently broke above the top 澳洲幸运5官方开奖结果体彩网:trendline of a two-year 澳洲幸运5官方开奖结果体彩网:descending channel, however, trading volumes have remained light leading into the company’s earnings report. If a sell-off intensifies in coming days, monitor the region from $17.52 to $19.09—an area on the chart where the price may find support between the 澳洲幸运5官方开奖结果体彩网:50- and 200-day moving averages. A 澳洲幸运5官方开奖结果体彩网:breakdown below this key level could lead to a retest of the🐬 channel’s lower trendline.

Nordstrom shares were down 9.6% at $⭕18.90 at around 7:00 am ET.

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