JCPenney Stock Hits 2001 Lows

by Karl Utermohlen | August 7, 2013 2:06 pm

JCPenney Stock Hits 2001 Lows

JCPenney (JCP[1]) is continuing to struggle as the company’s stock is still dropping, reaching its lowest levels since 2001.

As of Wednesday afternoon, the retailer’s stock had fallen more than 3% to sit around $12.80 per share, putting JCP at lows it hasn’t plumbed since January 2001. JCP is off roughly 84% since its peak in early 2007, and has shed 22% in the past five days alone.

A string of incidents and controversial headlines have plagued the company in the last few months. These include JCPenney’s designer tea kettle that resembles Hitler[2] and recent allegations of swindling its customers through a deceptive sales ploy[3].

But what’s really killed JCPenney is its former CEO’s decision to eliminate sales at the company, alienating many customers. Although the company did decide to start promoting sales again[4], JCPenney’s free-fall hasn’t showed any signs of slowing down.

Earlier this week, however, JCPenney hired a new marketing pro in hopes of turning this trend around[5].

The company will report its earnings to the public on Aug. 20.

Endnotes:
  1. JCP: http://studio-5.financialcontent.com/investplace/quote?Symbol=JCP
  2. designer tea kettle that resembles Hitler: http://investorplace.com/2013/05/jcpenney-under-fire-for-products-hitler-resemblance/
  3. allegations of swindling its customers through a deceptive sales ploy: http://investorplace.com/2013/07/employees-out-jcpenney-for-deceptive-sales-ploy/
  4. did decide to start promoting sales again: http://investorplace.com/2012/06/in-turnabout-j-c-penney-will-promote-sales-again/
  5. JCPenney hired a new marketing pro in hopes of turning this trend around: http://investorplace.com/2013/08/struggling-jcpenney-hires-new-marketing-pro/

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