Netflix adds 5.3M subscribers in Q3 >>> READ MORE

6 Battling Big-Box Retailers: Who’s Winning?

The sector's off to a mixed start so far this year

      View All  


J.C. Penney (NYSE:JCP)Year-to-Date Gains: -12%

Another stock whose struggles are more than well-documented? JCPenney (JCP).

First, former Apple (AAPL) genius Ron Johnson was expected to turn the department store around just over a year ago. As you likely remember, he proceeded to eliminate sales and, in the process, alienate customers. He later brought discounts back, but the damage was done. The company’s revenue plummeted and its profits followed.

Of course, Ron Johnson was given the boot earlier this year — the opposite headline-generating move, but one that was hoped to have a similar effect: turn the company around.

Unfortunately, JCP released its first post-Ron earnings back in May … and things were still downright ugly. The company more than doubled its loss year-over-year — sitting $1.58 per share in the red vs. expectations of a $1.04-per-share loss — while revenue dropped more than 16% and same-store sales slid 17%.

The company has consistently missed expectations by a wide mark in recent quarters, while the expectations for just how bad the full-year bleeding will be have (unsurprisingly) been getting worse. Things are expected to get slightly better the year after — with revenue slated to grow and the loss slated to be narrowed significantly — but “better” is a relative term … and JCP still has a long way to go.

Article printed from InvestorPlace Media,

©2017 InvestorPlace Media, LLC