NYSE:KSS

Stock Analysis Report

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Market Cap

US$8.7b

Last Updated

2021/06/24 02:15 UTC

Data Sources

Company Financials +

Executive Summary

Kohl's Corporation operates as a retail company in the United States. More Details


Snowflake Analysis

Adequate balance sheet and fair value.


Similar Companies

Share Price & News

How has Kohl's's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: KSS is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 7% a week.

Volatility Over Time: KSS's weekly volatility (7%) has been stable over the past year.


Market Performance


7 Day Return

4.8%

KSS

1.7%

US Multiline Retail

0.5%

US Market


1 Year Return

170.9%

KSS

56.7%

US Multiline Retail

42.6%

US Market

Return vs Industry: KSS exceeded the US Multiline Retail industry which returned 56.7% over the past year.

Return vs Market: KSS exceeded the US Market which returned 42.6% over the past year.


Shareholder returns

KSSIndustryMarket
7 Day4.8%1.7%0.5%
30 Day0.4%4.3%1.9%
90 Day-2.4%13.1%7.9%
1 Year173.2%170.9%58.2%56.7%44.9%42.6%
3 Year-15.2%-24.2%105.9%94.2%64.4%54.1%
5 Year81.5%48.1%142.1%118.9%128.3%102.7%

Long-Term Price Volatility Vs. Market

How volatile is Kohl's's share price compared to the market and industry in the last 5 years?


Simply Wall St News

Valuation

Is Kohl's undervalued compared to its fair value and its price relative to the market?

33.5%

Undervalued compared to fair value


Share Price vs. Fair Value

Below Fair Value: KSS ($55.91) is trading below our estimate of fair value ($84.04)

Significantly Below Fair Value: KSS is trading below fair value by more than 20%.


Price To Earnings Ratio

PE vs Industry: KSS is poor value based on its PE Ratio (22x) compared to the US Multiline Retail industry average (19.2x).

PE vs Market: KSS is poor value based on its PE Ratio (22x) compared to the US market (19.2x).


Price to Earnings Growth Ratio

PEG Ratio: KSS is poor value based on its PEG Ratio (2.6x)


Price to Book Ratio

PB vs Industry: KSS is good value based on its PB Ratio (1.7x) compared to the US Multiline Retail industry average (3.2x).


Future Growth

How is Kohl's forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?

8.4%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: KSS's forecast earnings growth (8.4% per year) is above the savings rate (2%).

Earnings vs Market: KSS's earnings (8.4% per year) are forecast to grow slower than the US market (15.7% per year).

High Growth Earnings: KSS's earnings are forecast to grow, but not significantly.

Revenue vs Market: KSS's revenue (2.4% per year) is forecast to grow slower than the US market (9.5% per year).

High Growth Revenue: KSS's revenue (2.4% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: KSS's Return on Equity is forecast to be low in 3 years time (11.9%).


Past Performance

How has Kohl's performed over the past 5 years?

-20.0%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: KSS has a large one-off loss of $238.0M impacting its May 1 2021 financial results.

Growing Profit Margin: KSS's current net profit margins (2.3%) are higher than last year (0.5%).


Past Earnings Growth Analysis

Earnings Trend: KSS's earnings have declined by 20% per year over the past 5 years.

Accelerating Growth: KSS's earnings growth over the past year (314.3%) exceeds its 5-year average (-20% per year).

Earnings vs Industry: KSS earnings growth over the past year (314.3%) exceeded the Multiline Retail industry 109%.


Return on Equity

High ROE: KSS's Return on Equity (7.7%) is considered low.


Financial Health

How is Kohl's's financial position?


Financial Position Analysis

Short Term Liabilities: KSS's short term assets ($5.2B) exceed its short term liabilities ($2.9B).

Long Term Liabilities: KSS's short term assets ($5.2B) do not cover its long term liabilities ($6.6B).


Debt to Equity History and Analysis

Debt Level: KSS's debt to equity ratio (37.3%) is considered satisfactory.

Reducing Debt: KSS's debt to equity ratio has reduced from 52.7% to 37.3% over the past 5 years.

Debt Coverage: KSS's debt is well covered by operating cash flow (81.9%).

Interest Coverage: KSS's interest payments on its debt are not well covered by EBIT (2.6x coverage).


Balance Sheet


Dividend

What is Kohl's current dividend yield, its reliability and sustainability?

1.79%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: KSS's dividend (1.79%) is higher than the bottom 25% of dividend payers in the US market (1.3%).

High Dividend: KSS's dividend (1.79%) is low compared to the top 25% of dividend payers in the US market (3.46%).


Stability and Growth of Payments

Stable Dividend: KSS's dividend payments have been volatile in the past 10 years.

Growing Dividend: KSS's dividend payments have not increased over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its low payout ratio (9.8%), KSS's dividend payments are thoroughly covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: KSS's dividends in 3 years are forecast to be well covered by earnings (32.6% payout ratio).


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.1yrs

Average management tenure


CEO

Michelle Gass (52 yo)

3.08yrs

Tenure

US$12,855,375

Compensation

Ms. Michelle D. Gass has been an Independent Director at PepsiCo, Inc. since March 6, 2019. Ms. Gass serves as Chief Executive Officer and Director of Kohl's Corporation since May 16, 2018. Ms. Gass was th...


CEO Compensation Analysis

Compensation vs Market: Michelle's total compensation ($USD12.86M) is above average for companies of similar size in the US market ($USD6.60M).

Compensation vs Earnings: Michelle's compensation has increased by more than 20% in the past year.


Leadership Team

Experienced Management: KSS's management team is considered experienced (3.1 years average tenure).


Board Members

Experienced Board: KSS's board of directors are considered experienced (4.2 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Kohl's Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Kohl's Corporation
  • Ticker: KSS
  • Exchange: NYSE
  • Founded: 1962
  • Industry: Department Stores
  • Sector: Retail
  • Market Cap: US$8.735b
  • Shares outstanding: 156.23m
  • Website: https://www.Kohls.com

Number of Employees


Location

  • Kohl's Corporation
  • N56 W17000 Ridgewood Drive
  • Menomonee Falls
  • Wisconsin
  • 53051
  • United States

Listings


Biography

Kohl's Corporation operates as a retail company in the United States. It offers branded apparel, footwear, accessories, beauty, and home products through its stores and website. The company provides its pr...


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2021/06/24 02:15
End of Day Share Price2021/06/23 00:00
Earnings2021/05/01
Annual Earnings2021/01/30


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.