JCPenney (JCP) Holders Look for Little Glimmer of Hope with Q4 Results
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Financial Fact:
Net interest expense: 88M
Today's EPS Names:
FRSB, DGICA, UXIN, More
Financial Fact:
Net interest expense: 88M
Today's EPS Names:
FRSB, DGICA, UXIN, More
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JCPenney (NYSE: JCP) is expected to report fourth-quarter 2012 results on Wednesday, with a dramatic drop in sales and profit expected.
Currently, the Street is modeling that sales will fall over 24 percent to $4.11 billion, while JCPenney will swing from EPS of 74 cents last year into a loss of 11 cents per share in the recent quarter. Comps are also expected to fall about 30 percent.
All is not lost, however, with CEO Ron Johnson doing exactly the opposite of what he initially promised when joining the company in early 2012: offer promotions. With its Presidents' Day advertisement, JCPenney's flier boasted the word "sale" about 37 times over 24 pages. It almost seems as if JCPenney is telling investors one thing and doing the opposite.
With its conference call, hopes are that Johnson will say February sales were either flat or off to a great start. If either of those two phrases are uttered, shares might mount a mini rally. With comps expected to get easier through the balance of 2013, investors willing to take a near-term bet on JCPenney might be in for a decent ride higher.
Since the start of 2013, shares of JCPenney have gained about 14 percent. The stock is also on a three-session run, moving from around $19.80 up to a close of $22.47 last Friday.
Short interest in JCPenney fell about 5.9 percent through the end of January. Currently, about 60.03 million shares, or 30.9 percent of float, are being held short.
Currently, the Street is modeling that sales will fall over 24 percent to $4.11 billion, while JCPenney will swing from EPS of 74 cents last year into a loss of 11 cents per share in the recent quarter. Comps are also expected to fall about 30 percent.
All is not lost, however, with CEO Ron Johnson doing exactly the opposite of what he initially promised when joining the company in early 2012: offer promotions. With its Presidents' Day advertisement, JCPenney's flier boasted the word "sale" about 37 times over 24 pages. It almost seems as if JCPenney is telling investors one thing and doing the opposite.
With its conference call, hopes are that Johnson will say February sales were either flat or off to a great start. If either of those two phrases are uttered, shares might mount a mini rally. With comps expected to get easier through the balance of 2013, investors willing to take a near-term bet on JCPenney might be in for a decent ride higher.
Since the start of 2013, shares of JCPenney have gained about 14 percent. The stock is also on a three-session run, moving from around $19.80 up to a close of $22.47 last Friday.
Short interest in JCPenney fell about 5.9 percent through the end of January. Currently, about 60.03 million shares, or 30.9 percent of float, are being held short.
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