What's the 'REIT' Option for JCPenney (JCP)? Lowered Expectations...
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JCPenney (NYSE: JCP) shares are up on the session amid some negative chatter on the stock earlier today.
Elizabeth Dunn of Macquarie and MFP Investors' principal Michael Price spoke with Bloomberg Radio this morning.
Dunn doesn't think the JCPenney CEO Ron Johnson has anything positive to say on an upcoming investor call. Recent checks show that adjusted prices and couponing efforts have had about zero impact on traffic through the middle of March. The analyst thinks backtracking on pricing may be too little too late and she isn't sure that the retailer is going to be able get back the $4 billion in lost sales.
On recent REIT chatter, Dunn doesn't think that it would be a viable option for JCPenney, at least, not at the level people are talking about. The analyst noted that the company might be able to find somebody willing to pay $15 (per square foot), but not $40 for that space.
MFP's Price said he has been "long and wrong" on JCPenney shares, with the bet being a "big mistake." The firm bought behind Vornado (NYSE: VNO) and hedge fund giant Bill Ackman on theory of a turn around in management. No word on whether he plans to sell, with JCPenney being about 60 percent lower since Johnson took over as CEO last year.
Short interest on JCPenney fell just over 2 percent from the start through middle of March, to 61 million shares, or 29.9 percent of float.
Elizabeth Dunn of Macquarie and MFP Investors' principal Michael Price spoke with Bloomberg Radio this morning.
Dunn doesn't think the JCPenney CEO Ron Johnson has anything positive to say on an upcoming investor call. Recent checks show that adjusted prices and couponing efforts have had about zero impact on traffic through the middle of March. The analyst thinks backtracking on pricing may be too little too late and she isn't sure that the retailer is going to be able get back the $4 billion in lost sales.
On recent REIT chatter, Dunn doesn't think that it would be a viable option for JCPenney, at least, not at the level people are talking about. The analyst noted that the company might be able to find somebody willing to pay $15 (per square foot), but not $40 for that space.
MFP's Price said he has been "long and wrong" on JCPenney shares, with the bet being a "big mistake." The firm bought behind Vornado (NYSE: VNO) and hedge fund giant Bill Ackman on theory of a turn around in management. No word on whether he plans to sell, with JCPenney being about 60 percent lower since Johnson took over as CEO last year.
Short interest on JCPenney fell just over 2 percent from the start through middle of March, to 61 million shares, or 29.9 percent of float.
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