JCP - J.C. Penney's Third-Quarter Earnings Show Resilience
Veteran retailer J.C. Penney (NYSE: JCP) may still be alive, but it's not off life support yet. A better-than-expected Q3 earnings report -- losses came in at $0.29 a share, compared with analyst estimates of $0.56 -- failed to move the stock, which has been stuck at $1 for the past year. Given the company's ongoing struggles, there are few reasons for investors to add this retailer's stock to their portfolio.
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Along with other major department stores, J.C. Penney has been struggling with the dominance of Amazon (NASDAQ: AMZN). Penney's reported $2.5 million in revenue in its third-quarter report, with substantial losses of $93 million, but that was a drop from $111 million in Q3 2018. The store's "Plan for Renewal" includes selling excess inventory and closing stores with weak sales, and CEO Jill Soltau called the quarter "exciting and energizing" in the pursuit of these goals. She listed results "from the early implementation of our Plan for Renewal, which is focused on driving traffic, offering compelling merchandise, providing an engaging experience," as proof of the retailer's resilience.