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Target vs J.C. Penney

In: Business and Management

Submitted By amanreese
Words 2273
Pages 10
Target Corp. & J.C. Penney Company Inc.

MAURICE D. ALFORD
FINC 350 BUSINESS FINANCE
5/11/2013

TABLE OF CONTENTS

Executive Summary……………………………………………………………………2
Profitability………………………………………………………………………………..3
Asset Reutilization……………………………………………………………………..3
Capital Accounts…………………………………………………………………………4 – 5
Fixed Assets………………………………………………………………………………..5 – 6
Non-Current Assets…………………………………………………………………….6
Deferred Tax Accounts……………………………………………………………….7
Liquidity……………………………………………………………………………………..7 – 8
Debt Utilization…………………………………………………………………………..8
Recommendation……………………………………………………………………….8 -10
Resources………………………………………………………………………………………………………………..

EXECUTIVE SUMMARY

The bottom line up front, J.C. Penney Company Inc. would present a more attractive acquisition than Target Corp. J.C. Penney Company Inc. has a strong brand that is widely known and has all the tools to once again become a prominent organization within the retail industry. The organization’s recent purchase of Liz Claiborne, another well-known brand in addition to their real estate value, helps strengthen the decision to acquire this business. J.C. Penney has recently garnered the attention of a major investor, Soros Fund Management LLC. Soros has acquired a 7.91 percent stake in J.C. Penney. The billionaire investor George Soros acquired 17,386,361 shares reported by the Securities and Exchange Commission. The business community is starting to sniff something here and we can’t afford to not give this the attention that it deserves.
J.C. Penney Company Inc. has been operating for 100 years which shows that the organization has staying power and experience. The stock price has just recently posted for this organization at just under $18 per share and we should act now while at this price and increase our opportunity at a quick return. We need to make an…...

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