Penney J C Inc (NYSE:JCP)

CAPS Rating: 1 out of 5

The Company sells family apparel, jewelry, shoes, accessories and home furnishings to customers through department stores and Direct (Internet/catalog).


Player Avatar FoxForce5contest (22.24) Submitted: 12/31/2012 5:11:07 PM : Outperform Start Price: $20.01 JCP Score: -109.39

John C. Leven is looking for a rebound in J.C Pennys.

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Member Avatar HarryCaraysGhost (99.60) Submitted: 1/2/2013 6:55:10 PM
Recs: 0

@ $20.01 (interesting sidenote- I was just looking at JCP after TMFdeej mentioned them the other day. My take was they seem to be a prime candidate for bankruptcy. Hope I'm wrong).

Member Avatar JohnCLeven (76.22) Submitted: 1/8/2013 11:37:18 PM
Recs: 0


I'll be the first one to admit I did almost no diligence on the pick. After the HLF/Ackman thing, I went back and read all of Ackman's power point presentations that I could find on the internet. I read his JCP presentation and it seemed logical. Then I saw he'd lost a ton of money on it so far and that you could buy JCP today at a way lower start price than Ackman got. With that in mind, and the market's rampant pessimism, I thought taking a flyer for the contest wouldn't be a bad idea. Highly speculative.

Again, i've not done the background, so pardon my ignorance, but is the bankruptcy candidacy bc they simply are going to go broke before the "turnaround" will be complete? I'll have to go back and check them out for real when I get a chance.

Thanks for the reply.

Member Avatar HarryCaraysGhost (99.60) Submitted: 1/10/2013 7:59:18 PM
Recs: 0

Hi John,
Heres a Forbes article on the subject-

I didn't spend a whole lot of time coming to that conclusion, really just read the balance sheet and yes I felt that they would simply run out of cash. But who knows, I've been wrong before and most certainly will be wrong many more times in my life.

If you get the chance to research them further please do a blog, I would love to read and rec it.

Member Avatar HarryCaraysGhost (99.60) Submitted: 1/29/2013 6:41:25 PM
Recs: 0

Some good news for Jcp-
That might be enough for that rebound your looking for.

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