According to Zacks, “J. C. Penney has taken up several strategic initiatives to drive traffic. The company, in order to enhance customer shopping experience, has been focusing on remodeling, renovating and refurbishing its stores with special focus on enhancing high-margin center core department. The company’s strong in-store and online businesses, and solid performance across most merchandising divisions, with Sephora being one of the top performers, helped delivered upbeat performance in second-quarter fiscal 2016. These factors, along with the company’s constant efforts to drive omnichannel operations, make it confident of boosting sales and EBITDA in the remainder of fiscal 2016. On the flip side, the company’s high-debt level and competition from other department stores remain concerns. Nonetheless, management is concentrating on lowering the debt level and expects to reduce its net debt to EBITDA ratio to less than three times by fiscal 2017.”
A number of other brokerages have also recently issued reports on JCP. TheStreet upgraded shares of J.C. Penney from a sell rating to a hold rating in a report on Friday, August 12th. Argus reiterated a hold rating on shares of J.C. Penney in a report on Tuesday, August 16th. Morgan Stanley lifted their price objective on shares of J.C. Penney from $7.50 to $8.50 and gave the company an underweight rating in a report on Thursday, August 18th. B. Riley reiterated a buy rating and set a $16.00 price objective on shares of J.C. Penney in a report on Monday, August 15th. Finally, Vetr cut shares of J.C. Penney from a buy rating to a hold rating and set a $10.02 price objective for the company. in a report on Monday, August 15th. Two analysts have rated the stock with a sell rating, thirteen have given a hold rating, eleven have assigned a buy rating and one has issued a strong buy rating to the company’s stock. J.C. Penney currently has an average rating of Hold and a consensus price target of $11.44.
Shares of J.C. Penney (NYSE:JCP) traded down 0.998% during midday trading on Monday, reaching $8.435. 3,412,519 shares of the company’s stock traded hands. The stock’s market cap is $2.60 billion. The stock has a 50 day moving average of $9.48 and a 200-day moving average of $9.14. J.C. Penney has a 12 month low of $6.00 and a 12 month high of $11.99.
J.C. Penney (NYSE:JCP) last posted its quarterly earnings results on Friday, August 12th. The department store operator reported ($0.05) EPS for the quarter, topping analysts’ consensus estimates of ($0.15) by $0.10. The business earned $2.92 billion during the quarter, compared to analysts’ expectations of $2.93 billion. J.C. Penney had a negative net margin of 3.11% and a negative return on equity of 10.18%. The business’s quarterly revenue was up 1.5% on a year-over-year basis. During the same period last year, the company posted ($0.41) earnings per share. On average, equities research analysts forecast that J.C. Penney will post $0.16 EPS for the current fiscal year.
In other J.C. Penney news, Chairman Marvin R. Ellison acquired 50,000 shares of the business’s stock in a transaction dated Thursday, August 25th. The stock was bought at an average price of $9.92 per share, with a total value of $496,000.00. Following the purchase, the chairman now owns 2,557,317 shares of the company’s stock, valued at $25,368,584.64. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. 1.28% of the stock is currently owned by insiders.
Large investors have recently bought and sold shares of the stock. Patten & Patten Inc. TN raised its stake in J.C. Penney by 8.3% in the third quarter. Patten & Patten Inc. TN now owns 606,725 shares of the department store operator’s stock worth $5,594,000 after buying an additional 46,725 shares in the last quarter. Fox Run Management L.L.C. purchased a new stake in J.C. Penney during the third quarter worth approximately $328,000. Grassi Investment Management raised its stake in J.C. Penney by 76.6% in the third quarter. Grassi Investment Management now owns 32,500 shares of the department store operator’s stock worth $300,000 after buying an additional 14,100 shares in the last quarter. Gofen & Glossberg LLC IL purchased a new stake in J.C. Penney during the third quarter worth approximately $129,000. Finally, Northwestern Mutual Investment Management Company LLC raised its stake in J.C. Penney by 0.5% in the second quarter. Northwestern Mutual Investment Management Company LLC now owns 53,077 shares of the department store operator’s stock worth $471,000 after buying an additional 266 shares in the last quarter. Institutional investors own 88.53% of the company’s stock.
J.C. Penney Company Profile
J. C. Penney Company, Inc is a holding company. The Company’s operating subsidiary is J. C. Penney Corporation, Inc (JCP). The Company’s business consists of selling merchandise and services to consumers through its department stores and its Website at jcpenney.com, which utilizes optimized applications for desktop, mobile and tablet devices.
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