What Investor Sentiment Says About Going Long Nordstrom, Inc. (JWN)

At Insider Monkey, we pore over the filings of more than 700 top investment firms every quarter, a process we have now completed for the latest reporting period. The data we’ve gathered as a result gives us access to a wealth of collective knowledge based on these firms’ portfolio holdings as of September 30. In this article, we will use that wealth of knowledge to determine whether or not Nordstrom, Inc. (NYSE:JWN) makes for a good investment right now.

Is Nordstrom, Inc. (NYSE:JWN) the right pick for your portfolio? Hedge funds are in an optimistic mood. The number of bullish hedge fund bets rose by 11 recently. At the end of this article we will also compare Nordstrom, Inc. (NYSE:JWN) to other stocks including WestRock Co (NYSE:WRK), Ingersoll-Rand PLC (NYSE:IR), and Parker-Hannifin Corporation (NYSE:PH) to get a better sense of its popularity.

In today’s marketplace there are numerous formulas investors put to use to analyze stocks. Two of the best formulas are hedge fund and insider trading moves. Our researchers have shown that, historically, those who follow the top picks of the elite hedge fund managers can outperform the broader indices by a solid margin (see the details here).

With all of this in mind, let’s go over the fresh action encompassing Nordstrom, Inc. (NYSE:JWN).

How have hedgies been trading Nordstrom, Inc. (NYSE:JWN)?

At the end of the third quarter, a total of 38 of the hedge funds tracked by Insider Monkey held long positions in this stock, a 41% gain from the second quarter. With the smart money’s sentiment soaring, there exists a few notable hedge fund managers who were increasing their stakes substantially (or had already accumulated large positions).

According to Insider Monkey’s investor database, Citadel Investment Group, managed by Ken Griffin, holds the number one position in Nordstrom, Inc. (NYSE:JWN). Citadel Investment Group has a $222.2 million position in the stock, comprising 0.2% of its 13F portfolio. Sitting in the number two spot is Alkeon Capital Management, managed by Panayotis Takis Sparaggis, which holds a $106.4 million position; 2.2% of its 13F portfolio is allocated to the stock. Remaining members of the smart money that hold long positions contain Alexander Mitchell’s Scopus Asset Management, Steve Cohen’s Point72 Asset Management, and Israel Englander’s Millennium Management.