OTCPK:JCPN.Q

Stock Analysis Report

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Executive Summary

J. C. Penney Company, Inc., through its subsidiary J. More Details


Snowflake Analysis

Imperfect balance sheet with weak fundamentals.


Similar Companies

Share Price & News

How has J. C. Penney Company's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: JCPN.Q is more volatile than 90% of US stocks over the past 3 months, typically moving +/- 40% a week.

Volatility Over Time: JCPN.Q's weekly volatility has increased from 33% to 40% over the past year.


Market Performance


7 Day Return

-38.5%

JCPN.Q

2.4%

US Multiline Retail

-0.5%

US Market


1 Year Return

-88.9%

JCPN.Q

19.8%

US Multiline Retail

18.3%

US Market

Return vs Industry: JCPN.Q underperformed the US Multiline Retail industry which returned 19.9% over the past year.

Return vs Market: JCPN.Q underperformed the US Market which returned 19.1% over the past year.


Shareholder returns

JCPN.QIndustryMarket
7 Day-38.5%2.4%-0.5%
30 Day-30.6%3.3%3.6%
90 Day-55.6%7.2%5.6%
1 Year-88.9%-88.9%21.7%19.8%21.0%18.3%
3 Year-96.2%-96.2%101.1%90.1%45.2%35.6%
5 Year-98.4%-98.4%110.4%86.1%89.8%68.8%

Long-Term Price Volatility Vs. Market

How volatile is J. C. Penney Company's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is J. C. Penney Company undervalued compared to its fair value and its price relative to the market?


In this section, we usually try to help investors determine whether J. C. Penney Company is trading at an attractive price based on the cash flow it is expected to produce in the future. But as J. C. Penney Company has not provided consistent financial data, and the stock also has no analyst forecast or coverage, its intrinsic value cannot be reliably calculated by extrapolating past data or using analyst consensus cash flow predictions.

This is quite a rare situation as 89% of companies covered by Simply Wall St do have a valuation analysis.


Next Steps

  • Take a look at our analysis of JCPN.Q's management and see if the CEO's compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • When valuing a company like this, investors focus more on how they perceive the size of the opportunity, the company's ability to deliver and scale, and the strength of the team. While we are not analysing this type of data at the moment, if you don't know where to start, we recommend reading through J. C. Penney Company regulatory filings here.
  • Explore potentially undervalued companies in the Retail industry.

Future Growth

How is J. C. Penney Company forecast to perform in the next 1 to 3 years based on estimates from 0 analysts?

5.2%

Forecasted Retail industry annual growth in earnings


In this section we usually present revenue and earnings growth projections based on the consensus estimates of professional analysts to help investors understand the company’s ability to generate profit. But as J. C. Penney Company has not provided enough past data and has no analyst forecast, its future earnings cannot be reliably calculated by extrapolating past data or using analyst predictions.

This is quite a rare situation as 97% of companies covered by SimplyWall St do have past financial data.


Next Steps

  • Take a look at our analysis of JCPN.Q’s management and see if the CEO’s compensation is within a reasonable range, who is on the board and if insiders have been trading lately.
  • While we do not consider unaudited financials to be a reliable enough to include in our analysis, you can access them on theOTC Markets Website. If you are looking for more of a qualitative research into the company, you can access J. C. Penney Company's filings and announcementshere.
  • Explore growth companies in the Retail industry.

Past Performance

How has J. C. Penney Company performed over the past 5 years?

-8.1%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: JCPN.Q is currently unprofitable.

Growing Profit Margin: JCPN.Q is currently unprofitable.


Past Earnings Growth Analysis

Earnings Trend: JCPN.Q is unprofitable, and losses have increased over the past 5 years at a rate of 8.1% per year.

Accelerating Growth: Unable to compare JCPN.Q's earnings growth over the past year to its 5-year average as it is currently unprofitable

Earnings vs Industry: JCPN.Q is unprofitable, making it difficult to compare its past year earnings growth to the Multiline Retail industry (43.6%).


Return on Equity

High ROE: JCPN.Q's liabilities exceed its assets, so it is difficult to calculate its Return on Equity.


Next Steps

Financial Health

How is J. C. Penney Company's financial position?


Financial Position Analysis

Short Term Liabilities: JCPN.Q has negative shareholder equity, which is a more serious situation than short term assets not covering short term liabilities.

Long Term Liabilities: JCPN.Q has negative shareholder equity, which is a more serious situation than short term assets not covering long term liabilities.


Debt to Equity History and Analysis

Debt Level: JCPN.Q has negative shareholder equity, which is a more serious situation than a high debt level.

Reducing Debt: JCPN.Q's has negative shareholder equity, so we do not need to check if its debt has reduced over time.


Balance Sheet


Cash Runway Analysis

For companies that have on average been loss making in the past we assess whether they have at least 1 year of cash runway.

Stable Cash Runway: JCPN.Q has sufficient cash runway for more than 3 years based on its current free cash flow.

Forecast Cash Runway: JCPN.Q has sufficient cash runway for 2.4 years if free cash flow continues to grow at historical rates of 21% each year.


Next Steps

Dividend

What is J. C. Penney Company current dividend yield, its reliability and sustainability?


Dividend Yield vs Market

Notable Dividend: Unable to evaluate JCPN.Q's dividend yield against the bottom 25% of dividend payers, as the company has not reported any recent payouts.

High Dividend: Unable to evaluate JCPN.Q's dividend yield against the top 25% of dividend payers, as the company has not reported any recent payouts.


Stability and Growth of Payments

Stable Dividend: Insufficient data to determine if JCPN.Q's dividends per share have been stable in the past.

Growing Dividend: Insufficient data to determine if JCPN.Q's dividend payments have been increasing.


Current Payout to Shareholders

Dividend Coverage: JCPN.Q is not paying a notable dividend for the US market.


Future Payout to Shareholders

Future Dividend Coverage: No need to calculate the sustainability of JCPN.Q's dividend in 3 years as they are not forecast to pay a notable one for the US market.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

2.0yrs

Average management tenure


CEO

Jill Soltau (53 yo)

2.08yrs

Tenure

US$9,735,604

Compensation

Ms. Jill Ann Soltau serves as Chief Executive Officer and Director of J. C. Penney Company, Inc. since October 15, 2018. She served as the Chief Executive Officer and President of Jo-Ann Stores, LLC (forme...


CEO Compensation Analysis

Compensation vs Market: Jill's total compensation ($USD9.74M) is above average for companies of similar size in the US market ($USD562.78K).

Compensation vs Earnings: Insufficient data to compare Jill's compensation with company performance.


Leadership Team

NamePositionTenureCompensationOwnership
Jill Soltau
CEO & Director2.08yrsUS$9.74mno data
Billy Wafford
Executive VP & CFO1.58yrsUS$3.90mno data
Brynn Evanson
Executive VP & Chief Human Resources Officer7.5yrsUS$2.08mno data
Michelle Wlazlo
Executive VP & Chief Merchant1.67yrsUS$3.65mno data
Steven Whaley
Senior VP1.58yrsno datano data
Brandy Treadway
Senior VP3.25yrsUS$1.12mno data
Jill Feldman
Vice President of Marketing0.75yrno datano data
Pam Mortensen
Senior VP & General Merchandise Manager of Fine Jewelry11.33yrsno datano data
Katheryn Burchett
Senior Vice President of Merchandising8.67yrsno datano data
Val Harris
Senior Vice President of Product Design and Development - Apparel4.58yrsno datano data
Melissa Pint
Senior Vice President of Information Technology0.83yrno datano data
Truett Horne
Senior VP & Chief Transformation Officer1.83yrsno datano data

2.0yrs

Average Tenure

52yo

Average Age

Experienced Management: JCPN.Q's management team is not considered experienced ( 2 years average tenure), which suggests a new team.


Board Members

NamePositionTenureCompensationOwnership
Jill Soltau
CEO & Director2.08yrsUS$9.74mno data
Javier Garcia Teruel Herroz
Independent Director12.75yrsUS$252.13k0.16%
$ 66.6k
Leonard Roberts
Independent Director18.83yrsUS$245.00k0.0013%
$ 517.0
Ronald Tysoe
Independent Non-Executive Chairman2.5yrsUS$345.00k0.072%
$ 29.6k
Lisa Payne
Independent Director4.75yrsUS$245.00k0.079%
$ 32.5k
B. Owens
Independent Director6.08yrsUS$265.00k0.034%
$ 14.1k
Paul Brown
Independent Director4.17yrsUS$240.00kno data
W. Jones
Independent Director1.33yrsUS$168.57k0%
$ 0
Amanda Ginsberg
Independent Director5.33yrsUS$255.00k0.063%
$ 26.0k
Debora Plunkett
Independent Director3.67yrsUS$240.00k0.031%
$ 12.8k

4.5yrs

Average Tenure

60.5yo

Average Age

Experienced Board: JCPN.Q's board of directors are considered experienced (4.5 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: JCPN.Q insiders have only sold shares in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

J. C. Penney Company, Inc.'s company bio, employee growth, exchange listings and data sources


Key Information

  • Name: J. C. Penney Company, Inc.
  • Ticker: JCPN.Q
  • Exchange: OTCPK
  • Founded: 1902
  • Industry: Department Stores
  • Sector: Retail
  • Market Cap: US$41.028m
  • Shares outstanding: 322.80m
  • Website: https://www.jcpenney.com

Number of Employees


Location

  • J. C. Penney Company, Inc.
  • 6501 Legacy Drive
  • Plano
  • Texas
  • 75024
  • United States

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
JCPN.QOTCPK (Pink Sheets LLC)YesCommon SharesUSUSDJan 1968
JCPDB (Deutsche Boerse AG)YesCommon SharesDEEURJan 1968
0R2WLSE (London Stock Exchange)YesCommon SharesGBUSDJan 1968

Biography

J. C. Penney Company, Inc., through its subsidiary J. C. Penney Corporation, Inc., sells merchandise through department stores. The company primarily sells family apparel and footwear, accessories, fine an...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/11/23 00:03
End of Day Share Price2020/11/20 00:00
Earnings2020/08/01
Annual Earnings2020/02/01


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.