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Nordstrom (JWN) Set to Launch a Nordstrom Rack Store in Arizona

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As part of its store expansion strategy, Nordstrom, Inc. (JWN - Free Report) unveils a plan to open a new Nordstrom Rack in Surprise, AZ, in fall 2025. The new store, covering a 26,000-square-foot area, will be located in Prasada North, a famous shopping center that also includes Target and Starbucks.

The addition of the new store is set to serve the Surprise community with a wide array of high-quality brands at competitive prices. The evolution of Nordstrom Rack in Surprise will bring exciting fashion options to meet the evolving demands of the community.

The Surprise location will offer a variety of convenient services designed to provide a seamless shopping experience, making it easier for customers to shop from both Nordstrom.com and NordstromRack.com and collect purchases at the store. Additionally, the store will have simple return processes, ensuring customers can return things with ease. These services aim to integrate the online and in-store shopping experiences, offering greater flexibility and convenience to shoppers.

What Makes Nordstrom Rack Special?

Nordstrom Rack is the off-price retail division of Nordstrom, Inc. and plays a crucial strategic role in the company's “Closer to You strategy”. This strategy focuses on delivering customers a more convenient and interconnected experience across its stores and digital platforms. Nordstrom Rack offers customers up to 70 percent off on trending apparel, accessories, beauty products, home decor and shoes from many of the top brands sold at Nordstrom stores.

The new Surprise store is part of Nordstrom's extensive expansion strategy in Arizona. The new location expands its market reach and enhances its customer base. The company currently employs approximately 1,295 people in Arizona through the operation of 11 Nordstrom Rack locations and one Nordstrom store. Management had earlier highlighted about its plan to open 22 Nordstrom Rack stores in fiscal 2024.

The expansion in Arizona demonstrates Nordstrom's commitment to growing its presence in key markets and contributing to local economies. To achieve market-enhanced compensation, it seeks to acquire, develop, and retain qualified and diverse talent by providing appropriate training, a compelling work environment, and competitive compensation and benefits.

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Nordstrom stock, which currently carries a Zacks Rank #3 (Hold), has risen 5.2% in the past six months against the industry’s decline of 1.7%.

Key Picks

A few better-ranked stocks are Boot Barn Holdings, Inc. (BOOT - Free Report) , The Gap, Inc. and Abercrombie & Fitch Co. (ANF - Free Report) .

Boot Barn Holdings currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.

BOOT has a trailing four-quarter earnings surprise of 7.1%, on average. The Zacks Consensus Estimate for BOOT’s current financial-year sales and EPS implies growth of 10.7% and 8.9%, respectively, from the year-ago levels.

The Gap presently carries a Zacks Rank #2 (Buy). GPS has a trailing four-quarter earnings surprise of 202.7%, on average. 

The Zacks Consensus Estimate for GPS’ current financial-year sales and EPS implies growth of 0.2% and 24.5%, respectively, from the year-ago levels.

Abercrombie & Fitch currently holds a Zacks Rank of 2. ANF has a trailing four-quarter earnings surprise of 210.3%, on average. 

The Zacks Consensus Estimate for ANF’s current financial-year sales and EPS implies growth of 11.5% and 52.6%, respectively, from the year-ago levels.


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