Replies to post #122179 on Savvy Trades and Investments

[SSKILLZ1]

KSS

In my opinion the company has significant long-term issues, maybe it bounces, but not something I would want to trade/own in my opinion. I would be looking for the exits real quick here if I was you. Maybe I'm wrong, I just think KSS has a lot of problems. It is not even cheap with an EPS Midpoint of say $0.35, the stock is trading at over 26 times, that is insane PE for a company with these kind of fundies. Lets Just say if you have nothing nice to say which I would say would be fair about how I feel about KSS and the fundies, well I will let you figure out the rest of that sentence. All is just my opinion, and I could always be wrong though.

[nelson1234]

KSS bbotcs, they announced in the earnings report today that they lowered the dividend to .125/quarter (from .50/qtr). For you, as a buyer today, that's still a decent yield of over 5%.

Yup, ugly guidance. And while earnings estimates and the share price drop say otherwise, I think most were expected a big divvy cut, just when not if. The guide down next year with a 5 - 7% sales cut was more than most thought (hence 'ugly'), but I mean I think most were expecting some decent sales guide down. Inventory up at year end was a pretty bad surprise, considering the sales forecast. They tried to explain some of that by saying they are investing in their private brands to drive margins. They do own lots of real estate including over 400 of their stores.

I don't own, but I was thinking about it.

[researcher59]

KSS +.05 to 9.20 in pre-market .... looks like you already got a nice 5% bounce if you bought at the $8.75 bottom yesterday. Kohl's looks likes it's in a downward spiral given the awful guidance and that would be aggravated if a recession is looming. Covered call premiums are fairly good, but taking quick 5% profits might be the better choice. Good luck.

btw, the one bright spot is tangible book value of around $34, but many of their strip mall properties are probably worth less than book value and they do also have lots of debt.

briefing -

Kohl's beats by $0.23, reports revs in-line, comparable sales decreased 6.7%; guides FY26 EPS below consensus, revs below consensus (12.05 -0.16) :
Reports Q4 (Jan) earnings of $0.95 per share, excluding non-recurring items, $0.23 better than the FactSet Consensus of $0.72; revenues fell 9.4% year/year to $5.17 bln vs the $5.19 bln FactSet Consensus.
Comparable sales decreased 6.7%.
Inventory was $2.9 billion, an increase of 2% year-over-year.
Co issues downside guidance for FY26, sees EPS of $0.10-$0.60, excluding non-recurring items, vs. $1.18 FactSet Consensus; sees FY26 revs of $14.32-$14.63 bln vs. $15.45 bln FactSet Consensus. Sees comparable sales of a decrease of (4%) to a decrease of (6%).