Nov. 18, 2015, 1:00 PM
- Buckingham Research sees upside potential for J.C. Penney (JCP +0.8%) all the way to $16 per share. If the investment firm is correct the payoff for investors is a clean double.
- Improvement in comps growth and a lower SG&A spending percentage should help boost margins, reasons Buckingham.
- Shares of JCP took a tumble last week after earnings were released.
- Previously: J.C. Penney beats by $0.08, beats on revenue (Nov. 13 2015)
- Previously: J.C. Penney posts Q3 beat but stock sinks anyway (Nov. 13 2015)
Nov. 13, 2015, 9:14 AM
Nov. 13, 2015, 8:31 AM
- J.C. Penney (NYSE:JCP) reported a lighter than expected Q3 loss, better than expected sales growth and raised profit estimates for the year, but shares nevertheless are -3.3% premarket as other mall-based retailers have warned about weak consumer spending.
- JCP says its Q3 comparable sales at locations open for at least a year rose 6.4% Y/Y, beating expectations, but does not raise its forecast for full-year sales, reaffirming 2015 guidance for comp store sales to increase 4%-5%.
- JCP says all merchandise divisions had positive comp sales gains over last year, with men's, home, footwear, handbags and Sephora among the top performing divisions.
- Q3 gross margin rose to 37.3% from 36.6% a year earlier, helped by improvements in clearance and promotions.
- JCP says it now expects adjusted EBITDA of $645M, up from its August estimate of $620M.
- In premarket trading among peers, JWN -20.2%, TJX -4%, M -1.3%, TGT -1.5%, KSS -2%.
Nov. 13, 2015, 7:58 AM
- J.C. Penney (NYSE:JCP): Q3 EPS of -$0.47 beats by $0.08.
- Revenue of $2.9B (+5.1% Y/Y) beats by $20M.
- Shares -4.66% PM.
Nov. 12, 2015, 5:30 PM
Nov. 12, 2015, 5:17 PM
- Nordstrom (NYSE:JWN) -19.8% AH after missing Q3 earnings estimates by a wide margin and cutting its annual forecast.
- JWN says Q3 results were below its expectations, reflecting softer sales trends that generally were consistent across channels and merchandise categories.
- JWN lowers its guidance for FY 2016 EPS to $3.40-$3.50 from its prior outlook for $3.70-$3.80 and below the $3.77 analyst consensus estimate, and lowers its revenue view to a 7.5%-8% gain and $14.1B-$14.16B vs. $14.34B consensus.
- For Q4, JWN sees EPS of $3.30-$3.40 with sales rising 7.5%-8%, down from its previous guidance for EPS of $3.85-$3.95 on a 8.5%-9.5% sales increase.
- Q3 revenue, which includes revenue from its credit cards, gained 6% Y/Y to $3.33B, while sales at established stores rose 0.9%; inventory rose 8% Y/Y.
- JWN follows Macy’s in reporting disappointing results, underscoring a broader slowdown for department stores as consumers spend less of their money on apparel and accessories; after hours, M -1.6%, TGT -1.9%, JCP -1.4%, TJX -4%, BURL -5.3%, KSS -1.3%.
Nov. 12, 2015, 11:31 AM
- Kohl's (NYSE:KSS) is up 6.5% after reporting some success with strategic initiatives.
- Despite a year-over-year drop in Q3 profit, on a sequential basis the recent results looked stronger.
- J.C. Penney (JCP +3.4%), Nordstrom (JWN +2.3%), and Dillard's (DDS +3.5%) are all solidly higher after selling off earlier in the week. The trio have a higher U.S. concentration than Macy's.
- Previously: Kohl's breaks out after earnings beat (Nov. 12 2015)
Nov. 12, 2015, 8:36 AM
- Deutsche Bank reiterates a favorable view on J.C. Penney (NYSE:JCP) after factoring in the department store chain's early peek at Q3 yesterday. The ratings non-action is notable given some loss of enthusiasm over the department store sector.
- Shares of JCP are rated at Buy and assigned a price target of $12 (+40% upside).
- Previously: J.C. Penney higher after disclosing +6% Q3 comp (Nov. 11 2015)
- JCP +0.94% premarket to $8.60.
Nov. 11, 2015, 7:27 AM
- J.C. Penney (NYSE:JCP) tips off it saw a 6.4% increase in comparable-store sales in Q3.
- The company says gross margin and earnings also topped its own expectations.
- Full Q3 results are due to be announced on November 13. Analysts expect JCP revenue of $2.87B and EPS of -$0.56.
- Previously: J.C. Penney settles class action lawsuit (Nov. 11 2015)
- JCP +7.55% premarket to $9.33.
Nov. 11, 2015, 7:08 AM
Nov. 10, 2015, 8:31 PM
- The headaches continue for a large part of the retail sector impacted by a slower pace of sales than anticipated this fall.
- Warmer weather than normal have held back outerwear and winter clothing demand, while mall traffic continues to be underwhelming.
- The high level of unsold inventory on shelves at retail chains is likely to lead to more promotions and discounts heading into the crucial Black Friday period, observes the WSJ. That trend could hurt manufacturers and sellers alike.
- Related ETFs: XLY, XRT, VCR, RTH, RETL, IYK, FXD, PEJ, FDIS, RCD, PMR, UGE, SZK.
- Related stocks: FL, FINL, KORS, COH, DSW, DKS, SKX, JCP, M, SHLD, KSS, JWN, TJX, ROST, BONT, AEO, ANF, ARO, CAL, CROX, SMRT, BKE, CTRN, GPS, LB, RL, PVH.
Nov. 9, 2015, 10:15 AM
- Department store stocks are off to a rough start with earnings coming into focus this week. Macy's (M -5.5%), J.C. Penney (JCP -4.2%), Kohl's (KSS -4.9%), Dillard's (DDS -3.3%), and Nordstrom (JWN -3.9%) are all sharply lower.
- Retailers Target (TGT -2.7%), Costco (COST -1.5%), TJX Companies (TJX -2.9%), The Children's Place (PLCE -4.8%), L Brands (LB -4.4%), and Wal-Mart (WMT -0.9%) are also below broad market averages with earnings reports due to roll in this week and next.
- The S&P Retail ETF (NYSEARCA:XRT) is down a crisp 2.0%.
Nov. 2, 2015, 11:37 AM
- Yoga pants are knocking at the door of business offices, according to The Boston Globe
- There's been a growing acceptance to count yoga pants as "business casual" at some workplaces. The trend could continue as younger managers take over.
- The broader athleisure category generated sales of over $2B last year and is expected to grow at a double-digit clip this year.
- Companies seen growing their presence in athleisure include Lululemon (NASDAQ:LULU), Gap (NYSE:GPS), Nike (NYSE:NKE), Target (NYSE:TGT), Dick's Sporting Goods (NYSE:DKS), Hanesbrands (NYSE:HBI), L Brands (NYSE:LB), Under Armour (NYSE:UA), and Kate Spade (NYSE:KATE). Other retailers such as Ann (NASDAQ:ASNA), New York & Companies (NYSE:NWY), and J.C. Penney (NYSE:JCP) are creating new brands in an effort to recapture lost business clothing sales from casual attire becoming more prominent.
Oct. 23, 2015, 3:18 PM
- J.C. Penney (NYSE:JCP) is off 8.7% after news that it's laying off 9% of staff at its headquarters -- 300 people -- amid a cost-cutting effort by CEO Marvin Ellison.
- The company is cutting the jobs at its Plano, Texas, base, where it employs 3,400.
- When Ellison joined last year (prior to becoming CEO this year) the company detailed a post-Ron Johnson reinvention plan to lift sales to $14.5B by the end of 2017, but retail reports for August and September have painted a grim environment. Wal-Mart and Neiman Marcus also recently announced job cuts.
Oct. 7, 2015, 2:48 PM
- Michael Kors (KORS -2.1%) and J.C. Penney (JCP -4.4%) both trade lower after the two stocks ended up on the bottom of Citigroup's list of favorites in the specialty retail and department store sectors.
- Michael Kors was initiated with a Sell rating and $38 price target (~11% downside).
- Citi coverage on J.C. Penney started off with a Sell rating and $7 price target (~25% downside).
Oct. 6, 2015, 6:05 PM
J. C. Penney Co., Inc. operates department stores, which consist of selling merchandise and services to consumers through its department stores. The company sells family apparel and footwear, accessories, fine and fashion jewelry, beauty products through Sephora inside jcpenney and home... More
Industry: Department Stores
Country: United States
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