Jcpenney Swot Analysis 2014

1490 Words 6 Pages
Company Detail Information
J.C. Penney Company, Inc, is an American retail company that many customers use. Their business consist of selling merchandise and services such as home furnishing, beauty products, accessories, and apparel through department stores and website at
J.C Penney was founded in “Kemmerer, Wyoming, in 1902 by James Cash Penney” with title of Golden Rule Store (Newsroom, JCPenney). Then change its name to J.C. Penney in 1913, establish its headquarters in New York the next year and became publicly traded company by 1929. By 1951, J.C. Penney reached $1 billion in sale. (Newsroom, JCPenney). And now operates approximately 875 locations across the United States and Puerto Rico (Newsroom, JCPenney). According
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Penney Company, 2017). In the fiscal year 2016, close $ for each quarter was $9.28, $9.66, $8.48, and $6.45 (J.C. Penney Company, 2017). Since May 2012, the company has not paid its dividend to shareholders.
There is no information about treasury stock for J.C. Penney
J.C. Penney company’s consolidated statement of operations, income, stockholder’s equity and cash flow for each year gets audited accordance with the standard of Public Company Accounting Oversight Board. These consolidated statements present financial position of the company.
Balance Sheet Consolidated balance sheet of J.C. Penney presents the assets and liabilities of the company in a single document. It’s current assets include cash in bank, cash short-term investment, and etc. Non-current assets include property and equipment. It’s total current assets is $4097 in 2016 and non current assets is $5217. Their liability includes portion of capital lease and long term debt and result total of $7960. According to the footnote from the balance sheet, J.C. Penney’s 1250 million shares of common stock are authorized with ‘a par value’ of $0.50 per share (J.C. Penney Company,
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If all activities get combined, this year J.C. Penney used - $13 million of cash. So, at the end of 2016 J.C. Penney had cash equivalent of $887 million. (J.C. Penney Company, 2017).
Articles about J.C. Penney reported the company’s annual earnings of 2016 on February 24, 2017. According to their article, J.C. Penney announced that company “delivered a $514 million improvement in net income for the full year” (“JCPENNEY...”). It was the first positive net income since 2010 particularly with women’s apparel business (“JCPENNEY…”). The article says that the company delivered improvement in net income to $1 million compared to the previous year (“JCPENNEY...:”). Which was proven true according to the company’s 10k document.
Even though J.C. Penney showed increase in their net income last year and made some positive steps, it still need improve with their management team. Daniel B. Kline, a Yahoo Finance reporter, suggested that J.C. Penney need a retail leader who will focus in protecting and enhancing in-store experience in order to make an improvement (Kline). The company showed improvement according to Q3, but only in online (Kline). If they focus in offline managment, their net income will improve much more than the resultance of

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