Core Viewpoint - Kohl's shares dropped over 20% following a significant decline in sales and the abrupt resignation of its CEO just days before Black Friday, raising concerns about the company's future performance [1][3]. Sales Performance - Kohl's reported a same-store sales decline of 9.3%, marking the eleventh consecutive quarterly decline [1][2]. - The company has lowered its annual sales forecast for the third consecutive quarter, now expecting a full-year net sales decline between 7% and 8%, compared to a previous forecast of a 4% to 6% decline [2]. Leadership Changes - CEO Tom Kingsbury announced his resignation after less than two years in the role, which is seen as a negative signal for investor confidence [3][4]. - Ashley Buchanan, former CEO of Michaels and a Walmart executive, has been appointed to take over the role in January [4]. Customer Trends - Customer visits to Kohl's decreased by an average of 6.2% in the third quarter, worsening from a 3% decline in the previous quarter [5]. - The shift in consumer behavior is evident as cash-strapped customers are increasingly turning to discount retailers like Walmart, impacting Kohl's performance [7][8]. Market Context - Kohl's shares have fallen 47.9% year-to-date, while Macy's shares have dropped 18.7% in the same period [9]. - The competitive landscape is challenging, with consumers favoring discount chains amid inflation and price hikes, which poses risks for traditional department stores like Kohl's and Macy's [8][9].

Summary of Key Points Core Viewpoint - Kohl's reported quarterly earnings of $0.20 per share, missing the Zacks Consensus Estimate of $0.27 per share, and showing a significant decline from $0.53 per share a year ago, indicating a -25.93% earnings surprise [1][2] Financial Performance - The company posted revenues of $3.71 billion for the quarter ended October 2024, which was 3.32% below the Zacks Consensus Estimate and down from $4.05 billion year-over-year [2] - Over the last four quarters, Kohl's has surpassed consensus EPS estimates only two times, and it has not beaten consensus revenue estimates during this period [2] Stock Performance - Kohl's shares have decreased approximately 36.1% since the beginning of the year, contrasting with the S&P 500's gain of 25.5% [4] - The current Zacks Rank for Kohl's is 3 (Hold), suggesting that the shares are expected to perform in line with the market in the near future [7] Earnings Outlook - The consensus EPS estimate for the upcoming quarter is $1.13 on revenues of $5.57 billion, and for the current fiscal year, it is $1.77 on revenues of $16.52 billion [8] - The trend of estimate revisions for Kohl's is mixed, and future changes in estimates will be closely monitored following the recent earnings report [7][8] Industry Context - The Retail - Regional Department Stores industry, to which Kohl's belongs, is currently ranked in the top 6% of over 250 Zacks industries, indicating a favorable outlook compared to lower-ranked industries [9]

Core Points - Kohl's shares are experiencing a decline of 3.5% in premarket trading following the announcement of CEO Tom Kingsbury's resignation after less than two years in charge [2][5] - Kingsbury will step down on January 15 and will be succeeded by Ashley Buchanan, who previously served as CEO of The Michaels Companies [2][3] - Under Kingsbury's leadership, Kohl's has faced challenges with falling sales, resulting in a 36% drop in shares this year [5] Leadership Transition - Tom Kingsbury, who became interim CEO at the end of 2022, will remain in an advisory role until his retirement in May next year [3] - Ashley Buchanan is noted for improving profitability and cash flow at Michaels while enhancing operational efficiencies and e-commerce [5] - The board chair, Michael Bender, highlighted that the company is undergoing a transformation to improve its product portfolio and store experience [4]

Kohl’s Corporation KSS will release earnings results for the third quarter, before the opening bell on Tuesday, Nov. 26.Analysts expect Kohl’s to report quarterly earnings at 27 cents per share. That's down from 54 cents per share a year ago. The Menomonee Falls, Wisconsin-based company projects to report quarterly revenue of $3.71 billion, compared to $3.84 billion a year earlier, according to data from Benzinga Pro.On Monday, Kohl’s said Chief Executive Officer Tom Kingsbury plans to step down as CEO, eff ...

Leadership Transition - Kohl's has appointed Ashley Buchanan, the current CEO of Michaels Companies, to succeed Tom Kingsbury as CEO effective January 15 [1] - Kingsbury will remain in an executive advisory role and on the board until his retirement in May [1][3] Background of New CEO - Ashley Buchanan has been the CEO of Michaels since 2020 and has over 13 years of experience at Walmart and Sam's Club in various senior executive roles [1][2] - Under Buchanan's leadership at Michaels, profitability and cash flow improved, and operational efficiencies were enhanced [2] Strategic Direction - Kohl's is undergoing a transformation to elevate its product portfolio, enhance the store experience, and improve long-term financial health and profitability [4] - The company is reshaping its identity to emphasize value-driven appeal for families, with a marketing message focused on lower price points [5][4] Transition Plan - Buchanan will step down from his role at Michaels on January 15 and will assist in ensuring a smooth transition over the next two months [6]

Leadership Changes - Kohl's is appointing a new CEO, Ashley Buchanan, effective January 15, succeeding Tom Kingsbury, who has been in the role since early 2023 after an interim period starting in late 2022 [1][4] - Buchanan previously led Michaels since 2020 and has extensive experience at Walmart, including roles in merchandising and operations [2][4] Financial Performance - Kohl's shares declined approximately 3% in extended trading following the CEO announcement [2] - During Kingsbury's interim period from December 2, 2022, to February 2, 2023, shares fell 17%, and have since dropped an additional 45% [5] - Comparable store sales at Kohl's have decreased for the past 10 consecutive quarters, indicating ongoing challenges in returning to sales growth [5] Board and Advisory Role - Kingsbury will remain with Kohl's in an advisory capacity to Buchanan and will stay on the board until his retirement in May [3] - Kohl's plans to reduce its board size by one seat and does not intend to replace Kingsbury [3] Market Context - Buchanan's leadership comes at a critical time as department stores face challenges in attracting shoppers amid increasing competition [4] - Kohl's off-mall format has provided some insulation compared to other department stores, but the company has experienced difficulties in recent years [4]

Investors in Kohl's Corporation (KSS) need to pay close attention to the stock based on moves in the options market lately. That is because the Jan 17, 2025 $05.00 Call had some of the highest implied volatility of all equity options today.What is Implied Volatility?Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could als ...

Kohl's Corporation (KSS) is likely to register declines in the top and bottom lines when it reports third-quarter fiscal 2024 earnings on Nov. 26. The Zacks Consensus Estimate for revenues is pegged at $3.8 billion, which indicates a 5.3% decrease from the year-ago quarter's actual. The consensus mark for quarterly earnings moved down by a penny in the last seven days to 27 cents per share, indicating a decline of 49.1% from the year-ago quarter’s reported figure. KSS has a trailing four-quarter negative ea ...

Wall Street analysts forecast that Kohl's (KSS) will report quarterly earnings of $0.27 per share in its upcoming release, pointing to a year-over-year decline of 49.1%. It is anticipated that revenues will amount to $3.84 billion, exhibiting a decline of 5.3% compared to the year-ago quarter.The consensus EPS estimate for the quarter has undergone a downward revision of 4.7% in the past 30 days, bringing it to its present level. This represents how the covering analysts, as a whole, have reassessed their i ...

Kohl's (KSS) is expected to deliver a year-over-year decline in earnings on lower revenues when it reports results for the quarter ended October 2024. This widely-known consensus outlook gives a good sense of the company's earnings picture, but how the actual results compare to these estimates is a powerful factor that could impact its near-term stock price.The stock might move higher if these key numbers top expectations in the upcoming earnings report, which is expected to be released on November 26. On t ...