Dow Slumps 143 Points, Sirius XM Refuses to Lose

J.C. Penney craters on store closure fears; Home Depot dips on real estate weakness

Apr 11, 2014 at 6:35PM

The stock market closed out the week on a sour note today, as selling in hot biotech names again caused negativity to spread to other parts of the market. All 10 sectors finished lower Friday, led by health-care's whopping 4.5% tumble. While consumer sentiment this month notched its highest reading since last July, Wall Street paid no notice, and the Dow Jones Industrial Average (DJINDICES:^DJI) lost 143 points, or 0.9%, to end at 16,026.

The Dow doesn't play host to any flash-in-the-pan growth stocks; the 30 "blue chip" components of the index are all household names, famed for their steady returns and massive size. But even these titans of American industry looked risky Friday, as JPMorgan's miserable first-quarter earnings made ripples through the market. Home Depot (NYSE:HD) investors were justifiably spooked by JPMorgan's soft mortgage business, and shares of the home improvement retailer dropped 1.4%. Loan origination at the country's biggest bank fell from $53 billion a year ago to just $17 billion in the first quarter. If real estate falls off too rapidly, so will Home Depot's business, which relies heavily on home renovations and remodeling.


Source: J.C. Penney website

Shares of clothing retailer J.C. Penney (NYSE:JCP) also sold off today, though the 9.6% pullback put Home Depot's to shame. The future of the business, while much improved from just three months ago, remains hazy; J.C. Penney's liquidity is still a focus of extreme investor concern as it tries to execute a turnaround. Although we've started to see evidence of that turnaround in increasing same-store sales, cutting costs is still a top priority, and that could mean closing more stores. Mall developer and REIT CBL stated as much today, saying it expected further closures at J.C. Penney in the future. 

Finally, Sirius XM Holdings (NASDAQ:SIRI) finished as a standout stock today, adding 1.9%. The satellite radio leader enjoyed the benefit of a debt upgrade, as Standard & Poor's and Moody's both upgraded a tier of its debt to "investment grade." In a press release, Sirius XM's CFO David Frear touted the upgrades as meaningful to the company because the investment-grade debt will "no longer constrain our share buyback activity." SiriusXM Canada also renewed an agreement with Volkswagen and Audi that ensures Sirius systems will continue to come factory-installed in new cars.

Three stocks poised to be multi-baggers
The one sure way to get wealthy is to invest in a groundbreaking company that goes on to dominate a multibillion-dollar industry. Our analysts have found multi-bagger stocks time and again. And now they think they've done it again with three stock picks that they believe could generate the same type of phenomenal returns. They've revealed these picks in a new free report that you can download instantly by clicking here now.

John Divine has the following options: long January 2015 $10 calls on J.C. Penney Company. You can follow him on Twitter @divinebizkid and on Motley Fool CAPS @TMFDivine.

The Motley Fool recommends Home Depot. The Motley Fool owns shares of JPMorgan Chase and Sirius XM Radio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Money to your ears - A great FREE investing resource for you

The best way to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as “binge-worthy finance.”

Feb 1, 2016 at 5:03PM

Whether we're in the midst of earnings season or riding out the market's lulls, you want to know the best strategies for your money.

And you'll want to go beyond the hype of screaming TV personalities, fear-mongering ads, and "analysis" from people who might have your email address ... but no track record of success.

In short, you want a voice of reason you can count on.

A 2015 Business Insider article titled, "11 websites to bookmark if you want to get rich," rated The Motley Fool as the #1 place online to get smarter about investing.

And one of the easiest, most enjoyable, most valuable ways to get your regular dose of market and money insights is our suite of free podcasts ... what we like to think of as "binge-worthy finance."

Whether you make it part of your daily commute or you save up and listen to a handful of episodes for your 50-mile bike rides or long soaks in a bubble bath (or both!), the podcasts make sense of your money.

And unlike so many who want to make the subjects of personal finance and investing complicated and scary, our podcasts are clear, insightful, and (yes, it's true) fun.

Our free suite of podcasts

Motley Fool Money features a team of our analysts discussing the week's top business and investing stories, interviews, and an inside look at the stocks on our radar. The show is also heard weekly on dozens of radio stations across the country.

The hosts of Motley Fool Answers challenge the conventional wisdom on life's biggest financial issues to reveal what you really need to know to make smart money moves.

David Gardner, co-founder of The Motley Fool, is among the most respected and trusted sources on investing. And he's the host of Rule Breaker Investing, in which he shares his insights into today's most innovative and disruptive companies ... and how to profit from them.

Market Foolery is our daily look at stocks in the news, as well as the top business and investing stories.

And Industry Focus offers a deeper dive into a specific industry and the stories making headlines. Healthcare, technology, energy, consumer goods, and other industries take turns in the spotlight.

They're all informative, entertaining, and eminently listenable. Rule Breaker Investing and Answers are timeless, so it's worth going back to and listening from the very start; the other three are focused more on today's events, so listen to the most recent first.

All are available for free at

If you're looking for a friendly voice ... with great advice on how to make the most of your money ... from a business with a lengthy track record of success ... in clear, compelling language ... I encourage you to give a listen to our free podcasts.

Head to, give them a spin, and you can subscribe there (at iTunes, Stitcher, or our other partners) if you want to receive them regularly.

It's money to your ears.


Compare Brokers