J.C. Penney (JCP) has been down as much as 12% this morning, following a 15% plunge yesterday. Reuters is reporting that Penney wants to raise as much as $1-billion in new equity. The goal here: to build up cash reserves ahead of the holiday season. Yesterday's drop in the stock brought shares prices to their lowest level in 13 years. Even before this morning's drop, shares were down 49% year-to-date.
Bed, Bath & Beyond (BBBY) has been up as much as 6.5% since reporting earnings after yesterday's closing bell. The company nudged past estimates on both the top and bottom lines making $1.16 a share on $2.82-billion in revenues. The numbers represent an 11% increase in profits over last year, and same-store sales were up nearly 4%. Prior to the report, the stock was up 32% year-to-date.
Nike (NKE) reports after the closing bell, in what could be called the new "kick-off" to earnings season. The company is expected to post profits of 78-cents a share up from 64-cents last year on revenue just shy of $7-billion. At this point, the stock is up 33% year-to-date, and 44% in the last 52-weeks, leading some to question whether the stock has had too much of a run-up. Analyst Brian Yarbrough at Edward Jones tells the Wall Street Journal he'll be watching for a slowdown in North America or a failure to resume modest growth in China.
Caesars (CZR) has been down more than 6% since yesterday's close, following a drop of more than 7% during the regular session. Caesars has announced a secondary offering of 10-million shares, diluting what's already on the market. This, coming from a company that's been reporting quarterly losses, plus a drop in traffic at its casinos. As of yesterday's close, Caesar's stock has been up 182% year-to-date.
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