Kohl’s (NYSE:KSS) Shares Gap Up Following Strong Earnings

Kohl’s Corporation (NYSE:KSS)’s stock price gapped up before the market opened on Tuesday following a better than expected earnings announcement. The stock had previously closed at $15.73, but opened at $19.49. Kohl’s shares last traded at $21.2580, with a volume of 11,686,352 shares.

The company reported $0.10 earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.19) by $0.29. The company had revenue of $3.41 billion for the quarter, compared to analysts’ expectations of $3.37 billion. Kohl’s had a return on equity of 4.62% and a net margin of 1.31%.Kohl’s’s quarterly revenue was down 3.6% on a year-over-year basis. During the same period last year, the firm earned $0.20 earnings per share. Kohl’s has set its FY 2025 guidance at 1.250-1.450 EPS.

Kohl’s Announces Dividend

The firm also recently announced a quarterly dividend, which will be paid on Wednesday, December 24th. Investors of record on Wednesday, December 10th will be issued a dividend of $0.125 per share. This represents a $0.50 dividend on an annualized basis and a dividend yield of 2.2%. The ex-dividend date is Wednesday, December 10th. Kohl’s’s dividend payout ratio is currently 27.03%.

Wall Street Analyst Weigh In

A number of brokerages recently commented on KSS. Barclays raised their price target on Kohl’s from $5.00 to $8.00 and gave the stock an “underweight” rating in a research note on Thursday, August 28th. Morgan Stanley raised their target price on shares of Kohl’s from $5.00 to $9.00 and gave the stock an “underweight” rating in a research report on Thursday, September 18th. Telsey Advisory Group reaffirmed a “market perform” rating and set a $16.00 target price on shares of Kohl’s in a research note on Tuesday. The Goldman Sachs Group increased their price target on shares of Kohl’s from $7.00 to $11.00 and gave the stock a “sell” rating in a research note on Thursday, August 28th. Finally, Jefferies Financial Group restated a “hold” rating and issued a $20.00 price objective on shares of Kohl’s in a report on Tuesday. One investment analyst has rated the stock with a Buy rating, ten have given a Hold rating and seven have assigned a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Reduce” and a consensus price target of $14.12.

Institutional Trading of Kohl’s

Hedge funds and other institutional investors have recently made changes to their positions in the stock. Banco Bilbao Vizcaya Argentaria S.A. increased its holdings in shares of Kohl’s by 37.0% during the first quarter. Banco Bilbao Vizcaya Argentaria S.A. now owns 197,974 shares of the company’s stock valued at $1,649,000 after acquiring an additional 53,518 shares in the last quarter. Jefferies Financial Group Inc. bought a new position in Kohl’s in the 1st quarter worth about $409,000. XTX Topco Ltd grew its position in Kohl’s by 313.1% during the 1st quarter. XTX Topco Ltd now owns 142,270 shares of the company’s stock valued at $1,164,000 after purchasing an additional 107,831 shares during the last quarter. Charles Schwab Investment Management Inc. grew its position in Kohl’s by 11.1% during the 1st quarter. Charles Schwab Investment Management Inc. now owns 1,968,634 shares of the company’s stock valued at $16,103,000 after purchasing an additional 197,088 shares during the last quarter. Finally, Amundi increased its stake in Kohl’s by 650.5% during the 1st quarter. Amundi now owns 426,699 shares of the company’s stock valued at $3,490,000 after purchasing an additional 369,841 shares in the last quarter. Hedge funds and other institutional investors own 98.04% of the company’s stock.

Kohl’s Price Performance

The company has a quick ratio of 0.19, a current ratio of 1.36 and a debt-to-equity ratio of 1.00. The firm has a market capitalization of $2.51 billion, a PE ratio of 12.11 and a beta of 1.78. The firm’s fifty day simple moving average is $16.43 and its 200-day simple moving average is $12.89.

Kohl’s Company Profile

Kohl’s Corporation operates as an omnichannel retailer in the United States. It offers branded apparel, footwear, accessories, beauty, and home products through its stores and website. The company provides its products primarily under the brand names of Croft & Barrow, Jumping Beans, SO, Sonoma Goods for Life, and Tek Gear, as well as Food Network, LC Lauren Conrad, Nine West, and Simply Vera Vera Wang.