Mon, Jan. 11, 1:44 PM
- Investors have significant upside potential with Kohl's (KSS +4.5%) if it goes down the go-private path, according to Stifel Nicolaus.
- The firm thinks a takeout price as high as $95 could be worked out
- Bloomberg Gadfly is far more skeptical that a P-E firm or consortium of buyers would reach that high due to Kohl's elevated level of debt and underwhelming real estate portfolio.
- Previously: Kohl's on watch amid go-private report (Jan. 11)
Mon, Jan. 11, 6:52 AM
- Shares of Kohl's (NYSE:KSS) are on watch after The Wall Street Journal reports that the department store chain is mulling over going private or breaking into pieces.
- The company is expected to evaluate options during internal meetings this week.
- Shares of Kohl's are up 2.6% in very early premarket action.
Thu, Jan. 7, 10:14 AM
- A large number of retail stocks are defying the global market sell-off to put in strong gains.
- The unexpected strength follows a few store chains reporting solid holiday sales growth, headlined by L Brands with a stellar 8% comp. The underlying story behind the good read may be that $2 gas prices are helping to feed consumer spending at U.S. store chains.
- Gasbuddy.com forecasts gas prices will stay low in the U.S. for all of 2016.
- Notable gainers include Wal-Mart (WMT +2%), Target (TGT +1%), Gap (GPS +2.3%), Fred's (FRED +1.2%), Express (EXPR +1.1%), American Eagle Outfitters (AEO +1.6%), Tilly's (TLYS +2.3%), Urban Outfitters (URBN +4%), TJX Companies (TJX +0.6%), Ross Stores (ROST +1.6%), Kohl's (KSS +2%), Stein Mart (SMRT +4.4%), Citi Trends (CTRN +1.7%), Buckle (BKE +4.8%).
- Related ETFs: XLP, XLY, VDC, XRT, VCR, RTH, RETL, FXG, FXD, FDIS, RHS, FSTA, RCD, PMR, BITE
Dec. 24, 2015, 7:29 AM
- Traffic at physical stores fell 10.4% last weekend, according to RetailNext, while sales fell 6.7%. That's worse than the 8% drop in traffic and 5.8% decline in sales recorded from Nov. 10 through Dec. 14.
- Source: WSJ
- At least there's last minute shopping, but online retailing is making fast gains there as well. Naturally, this is testing the limits of delivery services, with chains including Eddie Bauer and Pacific Sunwear (NASDAQ:PSUN) warning customers of delays, noting broader issues at FedEx (NYSE:FDX).
- FedEx is running 24/7 to “accommodate additional unforeseen volume from some customers,” but says its delivery network is performing as expected. UPS says it's running about 98% on time.
- All this is pushing traditional retailers into deeper promotions, and to keep their stores open for even longer stretches leading up to Christmas Eve. Kohl's (NYSE:KSS) opened at 7 AM on Dec. 17 and won't close until more than 170 hours later at 6 PM ET tonight. At Gap's (NYSE:GPS) Old Navy, the entire store is up to 75% off through Dec. 28, Macy's (NYSE:M) is offering "after Christmas prices now," and Abercrombie & Fitch (NYSE:ANF) is discounting the entire store by 40-60%.
- Online retailers, on the other hand, "aren't playing the big promotion game as much," according to PwC.
Dec. 15, 2015, 12:42 PM
Dec. 14, 2015, 11:21 AM
- Kohl's (KSS +1.9%) is using electronic price tags to help it adjust pricing based on store traffic and inventory. Sales now can last hours, instead of days, depending on what algorithms determine is the best strategy.
- The pricing changes are fired off remotely by the company
- Dynamic pricing is being used across broad retail in an effort to improve margins.
Nov. 30, 2015, 10:31 AM
- Department stores stocks are down across the board after reports of weak Black Friday traffic and pricing work turn sentiment sour.
- Sears Canada (SRSC -1.5%), Sears Holdings (SHLD -3.3%), Dillard's (DDS -3.2%), J.C. Penney (JCP -2.4%), Macy's (M -1.2%), Nordstrom (JWN -1.2%), and Kohl's (KSS -0.9%) are all lower.
- The SPDR S&P Retail ETF (NYSEARCA:XRT) is down 1.27%, although the damage could be worse if the underlying index didn't hold four internet retailers (Netflix, Amazon, Shutterfly, TripAdvisor) as top ten positions.
Nov. 27, 2015, 12:54 PM
- "We believe Thanksgiving shopping was a bust," says SunTrust, following channel checks in the New York metro area, New England, and the Southeast starting yesterday and continuing through the night into Black Friday.
- Team members dispatched to malls had no problem finding parking or navigating stores, says SunTrust, and there seemed to be more browsing than buying going on.
- Lines at Wal-Mart (WMT -0.5%) and Target (TGT +0.3%) were about half of last year, but Kohl's (NYSE:KSS) was the exception to lame traffic.
- Joining Kohl's among early winners according to SunTrust are Aeropastale (ARO +0.8%), Abercrombie & Fitch (ANF +0.2%), American Eagle Outfitters (AEO -0.4%), and Kate Spade (KATE -2.6%). New York & Co. (NWY +1.9%) was among the early losers. Gap (GPS -2.7%) scores both a win and a loss, with Old Navy looking good, but Gap stores not so much.
- Hanging out at Minneapolis' Mall of America, KeyBanc's Edward Yruma says traffic looks weaker than past years. "It doesn't look much busier than an average Saturday morning."
- ETFs: XLY, XRT, VCR, RTH, RETL, FXD, FDIS, RCD, PMR, BITE
Nov. 17, 2015, 9:26 AM
- Kohl's (NYSE:KSS) names Sona Chawla to the newly-created position of Chief Operating Officer.
- Chawla will assume responsibility for Kohl's omni-channel operations.
- The exec was hired away from Walgreens where she was serving as the president of digital and chief marketing officer.
Nov. 13, 2015, 8:31 AM
- J.C. Penney (NYSE:JCP) reported a lighter than expected Q3 loss, better than expected sales growth and raised profit estimates for the year, but shares nevertheless are -3.3% premarket as other mall-based retailers have warned about weak consumer spending.
- JCP says its Q3 comparable sales at locations open for at least a year rose 6.4% Y/Y, beating expectations, but does not raise its forecast for full-year sales, reaffirming 2015 guidance for comp store sales to increase 4%-5%.
- JCP says all merchandise divisions had positive comp sales gains over last year, with men's, home, footwear, handbags and Sephora among the top performing divisions.
- Q3 gross margin rose to 37.3% from 36.6% a year earlier, helped by improvements in clearance and promotions.
- JCP says it now expects adjusted EBITDA of $645M, up from its August estimate of $620M.
- In premarket trading among peers, JWN -20.2%, TJX -4%, M -1.3%, TGT -1.5%, KSS -2%.
Nov. 12, 2015, 5:17 PM
- Nordstrom (NYSE:JWN) -19.8% AH after missing Q3 earnings estimates by a wide margin and cutting its annual forecast.
- JWN says Q3 results were below its expectations, reflecting softer sales trends that generally were consistent across channels and merchandise categories.
- JWN lowers its guidance for FY 2016 EPS to $3.40-$3.50 from its prior outlook for $3.70-$3.80 and below the $3.77 analyst consensus estimate, and lowers its revenue view to a 7.5%-8% gain and $14.1B-$14.16B vs. $14.34B consensus.
- For Q4, JWN sees EPS of $3.30-$3.40 with sales rising 7.5%-8%, down from its previous guidance for EPS of $3.85-$3.95 on a 8.5%-9.5% sales increase.
- Q3 revenue, which includes revenue from its credit cards, gained 6% Y/Y to $3.33B, while sales at established stores rose 0.9%; inventory rose 8% Y/Y.
- JWN follows Macy’s in reporting disappointing results, underscoring a broader slowdown for department stores as consumers spend less of their money on apparel and accessories; after hours, M -1.6%, TGT -1.9%, JCP -1.4%, TJX -4%, BURL -5.3%, KSS -1.3%.
Nov. 12, 2015, 11:31 AM
- Kohl's (NYSE:KSS) is up 6.5% after reporting some success with strategic initiatives.
- Despite a year-over-year drop in Q3 profit, on a sequential basis the recent results looked stronger.
- J.C. Penney (JCP +3.4%), Nordstrom (JWN +2.3%), and Dillard's (DDS +3.5%) are all solidly higher after selling off earlier in the week. The trio have a higher U.S. concentration than Macy's.
- Previously: Kohl's breaks out after earnings beat (Nov. 12 2015)
Nov. 12, 2015, 9:17 AM
Nov. 12, 2015, 7:32 AM
- Kohl's (NYSE:KSS) could breathe some fresh air into the department store sector after posting a stronger-than-expected Q3 report.
- The company reported a +1% comp and a 10 bp dip in gross margin rate to 37.1%.
- Net income as a percentage of net sales +10 bps to 3.3%.
- Execs cited sales strength at the end of October helping to offset a sluggish September.
- Previously: Kohl's beats by $0.06, beats on revenue (Nov. 12)
- KSS +10% premarket.
Nov. 12, 2015, 7:22 AM
- Kohl's (NYSE:KSS) declares $0.45/share quarterly dividend, in line with previous.
- Forward yield 4.17%
- Payable Dec. 23; for shareholders of record Dec. 9; ex-div Dec. 7.
Nov. 12, 2015, 7:15 AM
- Kohl's (NYSE:KSS): Q3 EPS of $0.75 beats by $0.06.
- Revenue of $4.43B (+1.4% Y/Y) beats by $20M.
Kohl's Corp. owns and operates family-oriented department stores. It offers exclusive brand apparel, shoes, accessories and home & beauty products through its department stores. The company's stores offer apparel, footwear and accessories for women, men and children; soft home products, such as... More
Industry: Department Stores
Country: United States
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