Nov. 10 (Bloomberg) -- Nordstrom Inc., the U.S. department- store chain with more than 100 namesake locations, fell after its annual profit forecast fell short of analysts’ estimates.
Nordstrom slid 4.1 percent to $47.61 at 4:15 p.m. in New York after regular trading. The shares had gained 17 percent this year as of today’s close.
Seattle-based Nordstrom said annual profit would come to $3.05 to $3.10 a share, compared with an earlier forecast of $2.95 to $3.10. Eighteen analysts estimated $3.14 on average.
Nordstrom forecast higher selling, general and administrative expenses for the full year than previously projected. It began offering free shipping on all purchases in August.
Net income in the third quarter ended Oct. 29 rose 6.7 percent to $127 million, or 59 cents a shares, the retailer said in a statement today.
Sales at stores open at least a year will gain about 6 percent in the company’s fiscal 2011, it said. Nordstrom had previously projected a gain of 4 percent to 6 percent.
(Nordstrom’s executives began a conference call at 4:45 to discuss earnings. To listen, click on EVTS <GO>.)
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