Kohl’s Corporation (NYSE:KSS) has seen a notable adjustment in its stock price target, as Robert W. Baird has reduced it from $24.00 to $20.00. This change was detailed in a research report issued on Wednesday, March 10, 2024. Baird now maintains a neutral rating on the retailer’s stock, reflecting a cautious outlook amid mixed responses from various analysts.
In addition to Baird’s adjustment, multiple research firms have recently reevaluated their ratings on Kohl’s. Wall Street Zen downgraded the stock from a “buy” to a “hold” rating. Telsey Advisory Group lowered its price target from $23.00 to $17.00, assigning a “market perform” rating. Weiss Ratings reaffirmed a “hold (c-)” rating on January 22, 2024, while Citigroup also revised its target down to $20.00, maintaining a neutral stance. Conversely, The Goldman Sachs Group raised its price target from $11.00 to $15.00, though it still recommends a “sell” rating.
Currently, one investment analyst has rated Kohl’s as a buy, nine analysts have assigned a hold rating, and six have recommended selling. According to data from MarketBeat.com, the consensus rating for the retailer stands at “Reduce” with a consensus price target of $14.83.
Kohl’s Financial Performance and Earnings Report
Kohl’s recently released its quarterly earnings results, revealing earnings per share (EPS) of $1.07 for the quarter ending March 10, 2024. This figure surpassed the consensus estimate of $0.86 by $0.21. The company reported a net margin of 1.75% and a return on equity of 4.72%. Revenue for the quarter reached $5.17 billion, exceeding analysts’ expectations of $5.08 billion. However, this reflects a 3.9% decline compared to the same period last year, when the company reported an EPS of $0.95.
Looking forward, Kohl’s has set its fiscal year 2026 guidance for EPS between $1.000 and $1.600. On average, analysts anticipate that the company will report an EPS of $1.30 for the current year.
In addition to its earnings report, Kohl’s announced a quarterly dividend of $0.125 per share, payable on April 1, 2024, to stockholders of record as of March 18, 2024. This results in an annualized dividend of $0.50, yielding approximately 3.8%. The ex-dividend date is set for March 18, 2024, with a current payout ratio of 21.19%.
Institutional Trading Activity
Recent changes in institutional trading have also impacted Kohl’s stock. ProShare Advisors LLC increased its holdings by 3.1% during the fourth quarter, bringing its total to 21,237 shares valued at $433,000. The State of Alaska Department of Revenue grew its position by 1.1%, now owning 57,016 shares worth $1,163,000. Other notable increases include the Arizona State Retirement System, which raised its holdings by 2.0%, and Guggenheim Capital LLC, which increased its stake by 1.0%.
Overall, institutional investors own approximately 98.04% of Kohl’s stock, indicating strong support from large investment entities.
Kohl’s Corporation, established in 1962 and headquartered in Menomonee Falls, Wisconsin, operates around 1,100 stores across 49 states. The retailer is known for its value-oriented pricing and a diverse range of products, including apparel, footwear, accessories, and home goods. As it navigates a challenging retail landscape, Kohl’s continues to adapt its strategies to enhance both in-store and online shopping experiences.
