J C Penney Company Inc JCP 2.47% shares are poised to finish the week down more than 10 percent after the company announced it will be taking a series of drastic measures to help protect the struggling companies bottom line.
The New York Post reported that JCPenney has slashed payroll, frozen overtime, reduced corporate credit card allowances, banned markdowns and taken other emergency measures.
Bespoke analyst Kristin Bentz told Benzinga that she’s not surprised by JCPenny’s struggles. Rather than following Macy’s Inc. M 15.17%’s lead by focusing on online sales, JCPenney is trying to bail out a sinking ship.
“Look at the demise of Sport Chalet, and Sports Authority— the disruption is in retail is here,” Bentz told Benzinga.
“Not to mention the pressure put in place by minimum wage increases across the country, it would not surprise me that JCP would try to get out ahead by cutting staff hours or releasing employees.”
Long-time JCPenney investor and former activist board member Bill Ackman saw the writing on the wall way back in August of 2013. Ackman’s hedge fund Pershing Square reportedly lost…
Click here to continue reading
Want to learn more about how to profit off the stock market? Or maybe you just want to be able to look sophisticated in front of your coworkers when they ask you what you are reading on your Kindle, and you’d prefer to tell them “Oh, I’m just reading a book about stock market analysis,” rather than the usual “Oh, I’m just looking at pics of my ex-girlfriend on Facebook.” For these reasons and more, check out my book, Beating Wall Street with Common Sense. I don’t have a degree in finance; I have a degree in neuroscience. You don’t have to predict what stocks will do if you can predict what traders will do and be one step ahead of them. I made a 400% return in the stock market over five years using only basic principles of psychology and common sense. Beating Wall Street with Common Sense is now available on Amazon, and tradingcommonsense.com is always available on your local internet!
