J.C. Penney announced its fourth quarter earnings this morning, as well as plans to shutter as many as 140 stores. Moreover, Penney's comparable stores sales fell "only" 0.7%, materially better than their direct competitors, indicating some growth in relative market share. And Penney's should gain share in other key categories as Sears, Macy's and others close stores and continue to struggle. Penney's can never become a profitable retailer merely by closing a bunch of stores and maintaining an unprofitable level of discounting. Until one or more of the remaining brands can demonstrate both improving margins and sustained comparable stores sales the sector starts to look a lot more like the airline industry everyday.

Source: Forbes February 24, 2017 15:53 UTC