Why Sears Holdings, Immunomedics, and J.C. Penney Slumped Today
Monday was a good day for the stock market, with major benchmarks finishing with modest gains to sustain the generally bullish sentiment among investors. Some investors remain uncertain about whether proposals on tax reform will be able to get through Congress, but others are getting more confident that extensive negotiations among key leaders will produce a workable solution that can overcome opposition. Yet even amid the positive momentum in the overall market, some individual stocks suffered from bad corporate news. Sears Holdings (NASDAQ: SHLD), Immunomedics (NASDAQ: IMMU), and J.C. Penney (NYSE: JCP) were among the worst performers on the day. Below, we'll look more closely at these stocks to tell you why they did so poorly.
Shares of Sears Holdings dropped 10% following more setbacks for the retailer. Last week was difficult for Sears, as it posted quarterly results that included a 15% drop in comparable-store sales and an even larger decline in total revenue. Yet despite multiple efforts to consolidate and make the most of its business, including extensive store closings and substantial restructurings to emphasize its higher-potential business lines, Sears simply hasn't yet been able to deliver the turnaround that investors want to see. As competitors make aggressive moves to capture business in the holiday season, Sears runs the risk of falling behind, and what happens between now and the end of the year could make or break the retailer's future.
Image source: Sears.
Source: Fool.com
