Dallas, Texas 01/09/2014 (FINANCIALSTRENDS) – J.C. Penney Company, Inc. (NYSE:JCP) management flippancy in reporting holiday shopping guidance has cost the company several points on the stock market. Analysts have cried foul, that the company has offered to present the holiday shopping update, with descriptive and vague words, which do not indicate the actual number of sales made or revenue earned.
J.C. Penney Company, Inc. (NYSE:JCP) in its Jan 8, update reported that it the holiday performance had been ‘pleasant’ and the quarter four guidance would remain the same as announced back in November 2013. Some analysts are also of the view that as this was only an update from the retailer, the reticence was not be viewed otherwise.
J.C. Penney Company, Inc. (NYSE:JCP) detractors saw this as an opportunity to highlight poor performance for the lack of enthusiasm on the part of the management to provide the same.
Restructuring did prove to be positive
J.C. Penney Company, Inc. (NYSE:JCP) has had a chequered 2013, following the false-starts that their earlier CEO introduced by way of store-in-store concept and others which failed to match the sensibility of traditional JCP buying populace. As a home furnishing, apparel and lifestyle product retailer the store had a straightforward presence and commanded high loyalty given the variety of apparel-names that the store offered. The sudden changes led to fall in numbers, which in turn affected revenue earnings and the stock price of the company. However, the second and third quarter changes, with a new CEO pragmatic approach did see the company making massive turnaround largely driven by the festive shopping season over December.
Analysts are quick to give credit and estimate the company may have just been able to make a break-even position and has therefore, restrained itself from providing defining numbers on either the sales or other figures. However, the lack of clarity in terms of guidance has definitely not gone down well with the investors and J.C. Penney Company, Inc. (NYSE:JCP) has slid SOLIDLY by over 10.01%.