Penney reported same-store sales up 4.8%, reversing last year's declining fortunes. Unlike some peers, it said that Father's Day went well within its aisles. Interesting, seeing how some retailers complained that the holiday didn't drive enough business this year. While Penney's catalog/Internet sales decreased 3.4%, Internet sales increased 25%. The company cited strong sales in its stores as well as improving margins for the good month.
In addition, the company said it now expects second-quarter earnings to come in at $0.09 to $0.13 per share; previously, expectations were $0.09 per share.
It has been a tough June for discounters. We already knew that Wal-Mart
Meanwhile, Sears, Roebuck
It might come as no surprise that Sears would report lower same-store sales, given its recent history of turnaround efforts that have left shoppers unimpressed. However, analysts had been expecting a better June for the retailer, compounding the disappointment. It may very well be that Sears has a long way to go before it works its way back onto the list of retail options for the shopper at large.
As far as J.C. Penney goes, Foolish colleague Seth Jayson recently examined the retailer's perky quarter, wondering if it was a king among retailers. Since then, though, shares have been steadily marching upward (as they have over the last year), leaving the stock trading at 18 times forward earnings today.
When you think of Penney's real estate in your local mall, it may not seem as sexy a retail name as say, Nordstrom
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Alyce Lomax does not own shares of any of the companies mentioned.