NEW YORK ( TheStreet) -- The retail sector took some heat last week, but some companies fixed the damage with their earnings reports. TheStreet's Debra Borchardt and Laurie Kulikowski said J.C. Penney (JCP - Get Report) is rallying despite its second-quarter earnings miss.
Kulikowski said TJ Maxx was giving its customers what they want: the right product at the right price. She added that the store's home goods division was incredibly strong and that it remains a hot sector for 2013.
Conversely, Penney didn't do well at all. The company changed its home goods section, which now focuses more on furniture rather than furnishings, she added. So far, this hasn't been a great move.While the results were bad, with Penney losing $2.16 per share, missing estimates by $1.10 per share, there was one lone bright spot: improved comparable-store sales -- albeit, only slightly. Tuesday's move higher is largely thought to be a short squeeze, according to Borchardt, with 30% of J.C. Penney's float sold short heading into the report. -- Written by Bret Kenwell in Petoskey, Mich. Follow @BretKenwell
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