KSS short set up looking lovely
Merrill -$58 PT. 3Q Results: Maintaining 05E of $2.17 and 06E of $2.58. Strong Outlook for the Next 2 Quarters. Reported in line Q3 EPS of $0.42 (up 20%), at the high end of KSS`s new forecast of $0.41 to $0.42. Had a comp gain of 1.2% (above the dept store gain of 0.7%). KSS still plans to open 95 stores in FY06, but only 33 are expected in Q1 vs. 47 the prior year, helping to boost Q1 earnings 25%, due to lower opening expenses. Maintaining our Q4E of $0.97 vs. consensus of $0.96, up 35% from $0.72 last year, and the high end of management`s guidance of $0.93 to $0.97.
Market Data 
Markets 
AI
