Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, department store operator J.C. Penney (JCPN.Q) has received the dreaded one-star ranking.
With that in mind, let's take a closer look at J.C. Penney and see what CAPS investors are saying about the stock right now.
J.C. Penney facts
Headquarters (founded) |
Plano, Texas (1902) |
Market Cap |
$4.3 billion |
Industry |
Department stores |
Trailing-12-Month Revenue |
$14.5 billion |
Management |
CEO Ronald Johnson (since 2011) |
Return on Equity (average, past 3 years) |
(0.8%) |
Cash / Debt |
$525.0 million / $3.0 billion |
Competitors |
Sources: S&P Capital IQ and Motley Fool CAPS.
On CAPS, 34% of the 975 members who have rated J.C. Penney believe the stock will underperform the S&P 500 going forward.
Just yesterday, one of those Fools, All-Star BuyingRetail, succinctly summed up the J.C. Penney bear case for our community:
Expect 4th QTR at [J.C. Penney] to disappoint the street. Comps will not look good until they are up against the really awful numbers from 2012. This pick is short term for me but with only 40% of the floor converted by the end of 2013, I honestly don't expect things to improve on a permanent basis until 2015 when the transformation is complete (if they can hold out that long.)
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