Dear Valued Visitor,

We have noticed that you are using an ad blocker software.

Although advertisements on the web pages may degrade your experience, our business certainly depends on them and we can only keep providing you high-quality research based articles as long as we can display ads on our pages.

To view this article, you can disable your ad blocker and refresh this page or simply login.

We only allow registered users to use ad blockers. You can sign up for free by clicking here or you can login if you are already a member.

Here’s What You Should Know about These Stocks in Spotlight Today

Page 1 of 2

On the last day of the trading week, shares of J C Penney Company Inc (NYSE:JCP), Nordstrom, Inc. (NYSE:JWN), Dillard’s, Inc. (NYSE:DDS), Honda Motor Co Ltd (ADR) (NYSE:HMC), and Allergan plc Ordinary Shares (NYSE:AGN) are on the move due to various reasons. Given that sharp movement can sometimes be an indicator of future trends, let’s uncover why traders are buying or selling each stock. Let’s also see how the smart money investors positioned themselves towards these companies.

We believe that imitating hedge funds and other large institutional investors can be helpful in identifying stocks capable of outperforming the broader market. Through extensive research that covered portfolios of several hundred large investors between 1999 and 2012, we determined that following the small-cap stocks that large money managers are collectively bullish on, can generate monthly returns nearly 1.0 percentage points above the market (see the details here).

J C Penney Falls on Weak Sales

The turnaround of J C Penney Company Inc (NYSE:JCP) will apparently take longer than expected as sales of the retailer continue to decline. In its first quarter, J C Penney lost $0.32 per share on revenue of $2.81 billion, versus estimates of a loss of $0.38 per share on sales of $2.92 billion. Sales declined 1.7% year-over-year as comp sales inched lower by 0.4% year-over-year. Guidance is more positive, but still below market expectations. J C Penney’s management forecasts full year comp sales to rise 3% to 4% year-over-year and adjusted EPS to be positive. Full year gross margin is expected to grow just 10 to 30 basis points. J C Penney Company Inc (NYSE:JCP) shares are off 3.4% so far in early morning trading. Jim Simons’ Renaissance Technologies owned almost 18 million shares of J C Penney at the end of December.

Follow J C Penney Co Inc (NYSE:JCP)
Trade (NYSE:JCP) Now!

Nordstrom Plunges Due to Earnings Miss 

Nordstrom, Inc. (NYSE:JWN) is 14% in the red this morning after the retailer reported earnings of $0.26 per share on revenue of $3.25 billion, missing estimates by $0.20 per share and $30 million, respectively. Comparable sales declined 1.7% year-over-year as demand for luxury clothes was apparently soft. As for guidance, the weak demand picture doesn’t seem like it will improve this year, with management expecting full year comparable sales growth to be in the range of -1% to +1% versus their previous guidance of +3.5% to +5.5%. Management also cut their full year EPS guidance to $2.50-$2.70 from the previous $3.10-$3.35. Some hedge funds may have seen the bearish news coming. A total of 29 funds from our database reported stakes in Nordstrom, Inc. (NYSE:JWN) worth $208.55 million (representing 2.30% of the float) at the end of December, versus 38 funds a quarter earlier.

Follow Nordstrom Inc (NYSE:JWN)
Trade (NYSE:JWN) Now!

On the next page, we examine Dillard’s Inc, Honda Motor Co Ltd (ADR), and Allergan plc Ordinary Shares.

Page 1 of 2

Biotech Stock Alert - 20% Guaranteed Return in One Year

Hedge Funds and Insiders Are Piling Into

One of 2015's best hedge funds and two insiders snapped up shares of this medical device stock recently. We believe its transformative and disruptive device will storm the $3+ billion market and help it achieve 500%-1000% gains in 3 years.

Get your FREE REPORT and the details of our 20% return guarantee today.

Subscribe me to Insider Monkey's Free Daily Newsletter
This is a FREE report from Insider Monkey. Credit Card is NOT required.
Loading Comments...
X

Thanks! An email with instructions is sent to !

Your email already exists in our database. Click here to go to your subscriptions

Insider Monkey returned 102% in 3 years!! Wondering How?

Download a complete edition of our newsletter for free!