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Department Stores Pop On Latest News Of Nordstrom Take-Private Deal

KSS, M

What Happened

Nordstrom, Inc. (NYSE: JWN) spiked more than 5 percent Friday on a Reuters report that the Nordstrom family is finalizing a take-private offer. The transaction price is yet unknown.

The company formed a group to explore the opportunity back in June, prompting a 23-percent stock gain at the time with sympathy moves throughout the industry.

On Friday’s report, J C Penney Company Inc (NYSE: JCP), Macy’s Inc (NYSE: M) and Kohl’s Corporation (NYSE: KSS) popped more than 2.5 percent.

What's Next

Nordstrom’s news is neither unexpected nor unwelcome on the Street. Tigress Financial predicted in November a first-quarter development, and KeyBanc analysts said in September that the stock is a Buy whether or not the transaction goes through. KeyBanc anticipated a $60-per-share takeout price.

At time of publication, Nordstrom shares were trading up 5.2 percent at $52.88.

Related Links:

Nordstrom Troubles Are Priced In At This Point; JPMorgan Upgrades Stock

Amid Retail's Resurgence, Here Are 4 Stocks One Analyst Is Watching

Image credit: GoToVan, CC BY 2.0, via Wikimedia Commons



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