Citi analyst Deborah Weinswig said Friday now that J.C. Penney Co. has a new loan in place, it can address some of its more pressing problems.
THE OPINION: J.C. Penney, which has been struggling with years of weak sales and major shifts in management and direction, is expected to report its first-quarter results next week.
Weinswig, like many investors, is eager to hear from newly appointed CEO Mike Ullman what his pricing, merchandising and marketing strategies will be.
The analyst said now that the company has a $1.75 billion secured term loan in place, she believes the company can focus on its remaining priorities: stabilizing talent, stabilizing morale, stabilizing sales and invigorating its Internet business.
She does not expect the company to provide sales or earnings guidance but said investors will be closing watching monthly sales reports for signs of improvement and listening intently to management's discussion for signs of better times ahead.
Weinswig has a "Neutral" rating on the company's stock and a target price of $15.
THE STOCK: Shares of J.C. Penney rose 36 cents to close at $17.72 Friday. However, its stock price has fallen nearly 50 percent since this time last year.
- Investment & Company Information