JC Penney Shares Edge Lower as Credit Suisse Increased Q2, Q3 Loss Estimates Amid Concerns with Home Dept. Segment
Credit Suisse analyst Michael Exstein reduced his estimates on JC Penney (NYSE: JCP) Wednesday morning amid recent checks which indicate issues in the company's home department are intensifying management's challenges to boost traffic. The analyst specifically mentioned such household items as the "bed in the bag" and towels.
Exstein now expects JC Penney to report a Q2 loss per share of $1.22, compared to a prior estimate of a $0.94 loss per share. The analyst increased his Q3 estimate from a loss of $1.02 per share previously to a loss of $1.22 per share.
Credit Suisse maintains an Underperform rating and $15 price target on shares of JC Penney.
With shares of JC Penney down 1.4 percent to $16.89 at last check, Exstein's price target implies potential downside of about 11 percent.
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