You shorts wish that they didn't dilute the shares so vendors wouldn't sell them merchandises so the company can go bankrupt, right? Well you all sucker shorts, JCP did the right thing and now we have more new inventories and customers are back and jcp stock will squeeze you shorties out of money..real sooon
Sentiment: Strong Buy
I'm long the stock. Turnaround looks promising and they're trending toward positive earnings. That said, I continue to accumulate the dips... I really like it with market cap under $2B. It's at $2.2B now which is still very cheap. They've got to improve sales though.... Would like to see some more "in your face" advertising, announcement of weekend sales, etc. The right mix of marketing dollars will get them there. They're at the door, opportunity is knocking, the only question is "will they answer?"....
In reality the earning are not trending positive, at least not to any extent the company might want you to believe. The last earning report included a one time land deal and a one time tax write-off. Going off the top of my head, I think these two items gave a .75 per share positive spin to the earning number. Come the next earnings cycle you won't have that .75 per share little helper. Instead of the EPS, take a look at the revenues for the past 3 years. Every year the revenues are less and less. The only way JCP is increasing any EPS is by cutting costs, and not because the business is growing. This is a typical death spiral that has played out many times with many companies.
when the market goes up it tends to rise with the market but underperform. when the market goes down it drops more than the market. 40% of this stock is shorted which means there are more people who think this stock is going to tank than any stock on the market. of course that could be a good thing short term since and sudden spike upward and the shorts are forced to buy. i think some big investors have been short squeezing this stock of late but do not mistake that for actual value.