If 10 million shares can successfully be placed at 16.03
isn't that a bottom... sorry shorts... your efforts have moved it from 21 to 15 in four trading days... today there was consolidation and record high volume (i.e. any short with a brain was covering and reversing) This sell off will take a breather and shorts shares not covered will get nicely squeezed...
I don't see it - your thesis. How can you call JCP trending down over last 4-5 days and down all today as consolidation?
Maybe a lot of shares HAVE been covered recently. Where is your short fuel then? Ready to step in and short more on any meaningful price increase.
Regardless of short data, the issues are still there; the macy's lawsuit, the continuing loss of money and market share, the bailing of large investors, JCP allegedly delaying payments to vendors, and the mounting loss of faith in RJ.
Consolidation? What are you talking about? The stock drifted downward all day and closed just a few pennies higher than the low of the day. The only effect that the 10M share sale had was that it was evidence that a big stakeholder was willing to jump ship in order to cut its losses.
The company is bankrupt and will be liquidated. They had negative 820 million in cash flow last year and have a junk rating with bond yields above 10%. They have only 920 million in cash and
have absolutely no hope of a turn around. Unless upscale urbanites suddenly seek out JCPs to buy high end fashions for skinny people by the tens of millions - which they can not do because JCP will not have either the inventory or the cash to build out "shoppes".
The most telling line is from Ackman himself " The Shops will be only 10% of the square footage". All retailers are probably doomed in the long run, but JCP will be trading for pennies in a matter of weeks. A shark will show up any minute buying the bonds and forcing default while shorting the stock. HEY STEVE COHN, HERE IS SOME INSIDE INFO FOR YOU - JCP is a DEAD CO