In This Article:
Kohl's (KSS) closed at $59.77 in the latest trading session, marking a -0.81% move from the prior day. This change lagged the S&P 500's 0.54% loss on the day. Meanwhile, the Dow lost 0.02%, and the Nasdaq, a tech-heavy index, lost 0.12%.
Prior to today's trading, shares of the department store operator had gained 20.33% over the past month. This has outpaced the Retail-Wholesale sector's loss of 12.57% and the S&P 500's loss of 7.87% in that time.
Kohl's will be looking to display strength as it nears its next earnings release. On that day, Kohl's is projected to report earnings of $2.13 per share, which would represent a year-over-year decline of 4.05%. Meanwhile, our latest consensus estimate is calling for revenue of $6.86 billion, up 11.68% from the prior-year quarter.
For the full year, our Zacks Consensus Estimates are projecting earnings of $7.29 per share and revenue of $19.79 billion, which would represent changes of +702.48% and +24.05%, respectively, from the prior year.
Investors might also notice recent changes to analyst estimates for Kohl's. These recent revisions tend to reflect the evolving nature of short-term business trends. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.14% lower. Kohl's currently has a Zacks Rank of #3 (Hold).
Investors should also note Kohl's's current valuation metrics, including its Forward P/E ratio of 8.26. This represents a premium compared to its industry's average Forward P/E of 8.12.
Meanwhile, KSS's PEG ratio is currently 1.03. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Regional Department Stores was holding an average PEG ratio of 0.55 at yesterday's closing price.
The Retail - Regional Department Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 11, which puts it in the top 5% of all 250+ industries.