Plano, Texas – J.C. Penney will no longer be included on the Standard & Poor’s 500 Index.
Dow Jones Indices, which manages the S&P 500 as well as many other financial indices, said on Nov. 22 that Allegion, an Ireland-based provider of mechanical and electronic security products, will replace Penney on the S&P 500. Penney will join the S&P MidCap 400. The change will become effective after the stock market closes on Nov. 29.
Penny is getting dropped from the S&P 500 in the wake of a turbulent year that has seen its stock value drop 55% this year. Penney also recently reported a larger-than-expected third quarter net loss of $489 million. However, the retailer has shown some small encouraging signs recently, including reporting its first monthly same-store sales increase since November 2011 in October 2013 and seeing its stock value rise 18% since Nov. 1. So far the retailer has not publicly commented on this decision.