Nov. 14, 2013, 7:26 AM
- Kohl's (KSS) reports comp store sales fell more than anticipated during FQ3 which cut into its profitability noticeably.
- Gross margin as a percentage of total sales fell 60 bps to 37.5%.
- The company says it expects total sales to drop 2% to 4% for its FQ4 and lowers it outlook for FY13 EPS to $4.08-$4.23 from $4.15-$4.35. (PR)
- KSS -9.1% premarket.
Nov. 14, 2013, 7:11 AM
Nov. 14, 2013, 12:05 AM
Nov. 13, 2013, 5:30 PM
Nov. 13, 2013, 9:59 AM
- A powerhouse quarter and Q4 confidence from Macy' (M +7.9%) is providing a lift to the entire department store sector.
- Though the performance of Macy's seemed to be a direct result of strategic moves by management with its omnichannel initiatives and licensing partnerships, investors are assuming that the chill over retail has defrosted slightly. At least a few retail analysts warn that the Macy's recipe of giving away some margin with promotional activity to add comp growth won't go so smoothly for peers.
- Advancers: Dillard's (DDS) +3.5%, Bon-Ton Stores (BONT) +3.3%, Kohl's (KSS) +1.5%, J.C. Penney (JCP) +1.0%, Nordstrom (JWN) +2.6%.
- Even the S&P Retail ETF (XRT) is feeling the Macy's Effect - adding 0.5% on a down market day.
Nov. 8, 2013, 11:12 AM
- Some retail analysts aren't getting giddy about the powerful sales reports turned in by Gap and L Brands.
- Though management of both firms pushed the right levers to cut costs and drive sales with promotions, the gambit could run its course with underlying sales trends weak, warn skeptics.
- The other side of the argument is that Gap and L Brands won market share at the expense of downtrodden mall rivals that failed to see their promotions click. The pair are also well-positioned to take advantage of the trend toward e-commerce shopping in apparel.
- Related stocks: AAP, AEO, ANF, JCP, JNY, JWN, KSS, LTD, M, URBN, PSUN, BKE, WTSL, GPS.
Nov. 4, 2013, 6:57 AM
Oct. 26, 2013, 11:57 AM
- Barron's thinks Kohl's (KSS) — which Lawrence Strauss says has been "about as interesting as a pair of khaki pants" — is finally set to "live up to its retail motto 'Expect Great Things.'"
- Strauss says investors are protected on the downside by the company's dividend and penchant for buybacks and notes that with a little help from "modest" revenue growth and higher margins, the shares could rise by 20% or more.
Oct. 22, 2013, 6:44 AM
Oct. 10, 2013, 2:54 PM
- The government shutdown might have put a stop to the release of many economic reports, but at MasterCard the data crunching continues to go on.
- A new report from MasterCard Advisors finds September retail sales were up 3% Y/Y - a deceleration from the pace seen early in the summer.
- Though apparel and department stores (DDS, JCP, KSS, M) showed weakness, Internet sales (AMZN, EBAY, BBY, TGT) were up at a double-digit clip.
- Sales in the hardware and furniture & furnishings (LZB, ETH, HVT, RH,BSET, LEG) sectors were affected by fears over the impending government shutdown.
- MasterCard PR
Oct. 3, 2013, 7:40 AM
- The NRF has a fairly optimistic forecast out for holiday sales, but separating the winners from the losers in retail could come down to online execution.
- ShopperTrak sees foot traffic falling in both November and December with malls in the U.S. getting hit the hardest.
- Potential online winners: Macy's (M), Urban Outfitters (URBN), Gap (GPS), Under Armour (UA), Zale (ZLC).
- Mall laggards: Sears Holdings (SHLD), J.C. Penney (JCP), Dillards (DDS), Kohl's (KSS).
Sep. 27, 2013, 7:10 AM| Comment!
Sep. 23, 2013, 9:35 AM
- Younger men are changing the stereotype of the gender by becoming more willing to enter new frontiers, comparison shop, and use coupons - according to data from a new study by WSL Strategic Retail.
- The shift in attitude has caught the attention of sellers such as Lululemon (LULU) and Michael Kors (KORS), with both retailers expanding their menswear lines.
- What to watch: The "new world" of male shoppers looks to be more promotional-based and as the group enters the work force is hitting a different part of the retail scene (JWN and KSS vs. (MW and JOSB?)
Sep. 19, 2013, 1:35 PM
- Kohl's (KSS +0.1%) says it will hire 53K holiday season workers this year which works out to almost 40 additional associates per store.
- Though the retailer says the hiring binge marks a 10% increase over last year's total, analyst warn a disrupted season last year (election, Hurricane Sandy) makes year-over-year comparisons trickier.
Sep. 8, 2013, 10:12 AM
- Economists forecast retail sales rose 0.4% in August which will mark a slight acceleration from July's pace, although they note auto sales likely accounted for a good portion of the month's momentum.
- The early read on September for U.S. retailers is that a continuation of weak mall traffic and a heightened promotional stance is occurring.
- By sector, retailers with a mix of healthcare products (WAG, COST) or sitting in the sweet spot where consumer "trade down" (TJX, ROST, SIG) to their products are holding up better than many apparel sellers (AEO, ARO, LTD, GPS, M, KSS).
- Related ETFs: XRT, RTH, PMR, RETL.
Sep. 6, 2013, 7:28 AM
- Analysts don't think the challenges facing apparel retailers in the U.S. will go away anytime soon.
- Pent-up demand in the housing and auto sector has crowded out consumer spending on clothes to push the sector into a highly-promotional stance heading into the Back to School and holiday seasons.
- While retailers selling appliances (CONN, HD, LOW) are forecast to benefit from the trend, mall-based chains (KSS, BKE, ANF, WTSL, ZUMZ, GPS, URBN, GES, PSUN, ARO, EXPR, AEO, JCP, M, DDS) are on watch.
KSS vs. ETF Alternatives
Kohl's Corp operates department stores that sell moderately priced exclusive and national brand apparel, footwear, accessories, beauty and home products. Itswebsite includes merchandise available in stores, and merchandise available only on-line.
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