Translation: "I'm long, underwater and hoping my post inspires buying activity to bail me out. "
Look at the chart, Pal. You're fighting a serious trend.
Lol. I love how the market trades. Always gives hope to the losing side as it slowly suffocates the life out of that hope. What you're in now is an air pocket. Watch how it they suck the oxygen out of it this week. You'll still feel like there is hope, yet you'll be down below $8. Freackin' geniuses.
Aside from just how meaningless a 10% bump in sales is to a company with national department store overhead and dollar store pricing, aside from just how much more than a 10% bump this company needs going forward...
Ullman is going to get fired very, very soon. He will not survive this. Now you're going to bring in yet another new vision for the company, change what was changed from what was changed from what was changed...only this time, leveraged up to the hilt....
The only hope was Ullman's vision and experience...soon, that will be gone and then, it's all over. $8.20 is going to look like a lot of money when you look at this in two weeks. Be smart, take your loss.
Who is the idiot now, Boys? Got this stock in the palm of my hands...shorted all the way up.
I think we're all anxious to see what business model makes JCP profitable. Shame management stuck to the old one for as long as it did and blew all of that borrowed money into thin air.
By the time it becomes profitable, the shareholders will want management in jail for the folly that's been the last nine months. Don't think for a second Ullman bought his shares for any other reason than to provide support in all of the upcoming lawsuits based on his continual lying.
Pullback came a little sooner than you thought....
I was once a long. I went to the stores, I talked to the sales people, I cheered when the coupons came back, I listened to Ullman tell me it was turning and then...no customers came back. They're doing the same things that already didn't work.
My belief is they discounted their way into positive comps and it's not sustainable once the holiday spending goes away and you have nine long months before back to school.
We'll see...always interesting around JCP.
What's so hard to understand? It bounced from $6.15 to $10.70. Market was waiting for the numbers, they were positive but a long way from what's needed to save JCP and now everyone is focused on that. JCP needed to do better than 10%. they lost 30% of their business, then got 10% of what was left, back. It means they're still 23% off what they need to be profitable, unless they start closing stores...it's coming. That will depress revenue potential...it's going to be a long hard slog from here and the price with be below $10 for months and months and months....that's if it doesn't go to zero.
take your profit.
Ain't the market a b*tch? That's what you get for playing bounces and not the overall trend. JCP might make it but it's going to be along, drawn out affair and we'll see lower lows before we see prices in the teens.
Take your profit.
Agree. 2012 was 30% off 2011. Being 10% above 2012 means they are still 23% below 2011, the last time JCP was profitable. Questionable the level of discounting and advertising spend that went into getting the increase. Clearly Ullman focused on it but the odds point to a company that's still losing a lot of money. Think about how much they lost in 2012. To still be 23% under 2011 numbers?
Darn right you should take profit. While a step in the right direction, they still need to prove people want the new product and are willing to pay a price for it that enables them to be profitable. Until then, risky, risky, risky.
Lets do some basic math. Lets say, JCP had revenue of $1 million in 2011 holiday season. Then in 2012, they lost 30% of it. So now they do $700,000. The rest of the year, they hemorrhage money because that $300,000 was the difference between small profit and huge loss.
. Then in 2013 holiday, they go up 10% to $770,000. But they're still 23% off of where they were when they were barely profitable. The numbers don't work., dufus
Lets do some basic math. Lets say, JCP had revenue of $1 million in 2011 holiday season. Then in 2012, they lost 30% of it. So now they do $700,000. The rest of the year, thee hemorrhage money because that $300,000 was the difference between small profit and huge loss.
. Then in 2013 holiday, they go up 10% to $770,000. But they're still 23% off of where they were when they were barely profitable. The numbers don't work. They're still losing a fortune and come January, will shudder 1/3 of the stores....it's going to get ugly but enjoy the climb now, take profits and start shorting.
10% increase in sales. That's it? Last year was historically bad and Ullman had to discount, advertise and spend, spend, spend to get 10%. Enjoy the run longs but don't get too greedy.
Mark my words, as soon as the holiday is over, 1/3 of the stores are closing. Then it's a buy.
The CEO disagrees with everything you post. he's the one who has to answer to what he says, not you. I believe him.
Mr. Beaudoin said it is going well and so far there have been no surprises. “The best kind of test we can have is if we learn nothing out of the 2,400 hours that we are going to fly and so far we’re learning nothing. So that’s good.” He added that the company still has to assess when to start producing planes while the testing is still taking place. “I want to take the time to evaluate that properly,” he said.
When asked if Bombardier was using steep discounts to close sales, Mr. Beaudoin hinted that Bombardier’s big competitors, Airbus SAS and Boeing Co., were doing the same thing. “Airbus and Boeing were not going to let a new player in mainline come in and be welcomed,” he said. “So they are playing all the cards they’ve got. That’s fine. We planned it this way. But when you have the right product, the right technology, the product prevails in the end.”
Exactly. Ullman's explanation does not describe a turnaround. It describes low margin, unprofitable, short term blowout.
Morgan Stanley had a note out back in October about Ullman finally talking about closing stores. Of course, the time to do that is after the holiday season. They simply have no choice. Whn that happens, all hope of a return to historical prices goes out the window as revenue loss from closed stores will shrink the potential profitability of the company.
He may escape bankruptcy if he closes many stores quickly but the stock will get plundered.
Enjoy the bounce, longs....be sure to take your profit.
Tell him to sit tight. Short more above $10. Company is a money loser and just a matter of time before they raise more cash or close 1/3 of their stores. This is a short squeeze coming during the only window for optimism during the calendar year.
What's up, Retayl. BBY has no national, brick and mortar competitors and a higher margin product. Not comparable.
Shorted a few days ago at $9.20. You had your big burst yet I'm in the money? Hmmmmmm. Wonder how many of you are holding hedge fund sold shares after they profited on the bounce off the bottom....
Here's a few:
1. The company lost $458 million last qtr after CEO said it was stabilizing last qtr.
2. Vendors don't hesitate to pull credit. Forced the company to raise capital in September and will do it again, very soon.
3. Company lost 30% of revenue last year and despite the current strategy being in place for seven months, have not been able to gain even one percent of the 30 percent, back.
Company increase in sales is due to selling extremely discounted merchandise at a loss. Zero sign anyone would buy much of anything at full price, yet that's what the long case is counting on. Not going to happen.
Sears posts horrible numbers yet goes up. Why? Mr. Market is banking on brighter days ahead when JCP is shuttered.