J.C. Penney has had a management problem for several years. New CEO Marvin Ellison took the helm on August 1. He comes to J.C. Penney with a wealth of retail experience having spent 15 years at Target and 12 years at Home Depot. He was Vice President of Home Depot’s US stores when he was tapped to take over J.C. Penney.
But will new management be enough?
Same store sales have already made a comeback. Comps have been positive 7 out of the last 8 quarters. It is also seeing double digit comps from the Sephora branded store within the store. It is rolling Sephora out to its smaller stores this year.
But online sales and distribution still haven’t been streamlined at a company that used to be known as a catalog retailer. It also faces steep competition in its suburban locations.
J.C. Penney hasn’t made a profit since 2011 and has burned through $3.3 billion in cash.
Can J.C. Penney survive? Watch our short video below to find out.
J.C. Penney: http://www.zacks.com/stock/quote/JCP?cid=CS-YOUTUBE-FT-VID