What To Expect From JCPenney Earnings — a Sales Recovery
J.C. Penney Co. Inc.J.C. Penney Company Inc. (NYSE: JCP) has had a tough time over the past few years, posting weak revenues and little to no earnings. The retail department store is set to report quarterly results on Thursday. Can…
J.C. Penney Company Inc. (NYSE: JCP) has had a tough time over the past few years, posting weak revenues and little to no earnings. The retail department store is set to report quarterly results on Thursday. Can this report have the desired effect investors are looking for?
Analysts are expecting J.C. Penney to post a big loss of $0.93 per share and a 4% revenue growth to $2.79 billion, according to Thomson Reuters. In the same quarter last year, the company lost $2.20 per share and revenues were $2.66 billion.
Third quarter estimates are $0.82 loss per share and $2.88 billion in revenue. For the full year, analysts estimate Penney will post $2.77 loss per share on revenues of $12.4 billion.
In its first quarter earnings, the company reported a 6.2% increase in same-store sales, exceeding its guidance. The company forecast a gain in same-store sales for the coming earnings report as well. After that report, J.C. Penney’s stock price gapped up by $1.50, or nearly 18%, rising to $9.86 at the time.
J.C Penney has reported a loss for the past 10 consecutive quarters. It has also lost money on an after-tax basis for three years in a row, as well as significant drops in revenue. This year is expected to be the start of the recovery in revenues.
J.C. Penney shares were recently trading at $9.34 with a 52-week range $4.90 to $14.65. The consensus target price from analysts is $9.39.
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Chris Lange is a financial and geopolitical writer with more than a decade of experience covering a myriad of topics. He has published thousands of articles for 24/7 Wall St., with past coverage focused heavily on stocks, IPOs, healthcare, defense, global affairs, and technology.
His work has been quoted, or referenced by a number of outlets including Business Insider, USA Today, Yahoo Finance, MSN, The Motley Fool, and many other publications. A graduate of Southwestern University, he studied business with a focus on investments and has previous experience in banking and startups.
When not reading or writing the news, he is following his passion for Lacrosse, playing chess, or building solar projects with his dad.
