Kohl’s (NYSE:KSS) Rating Increased to Strong-Buy at Zacks Research

Kohl’s (NYSE:KSS) was upgraded by stock analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a research report issued to clients and investors on Wednesday,Zacks.com reports.

A number of other brokerages also recently issued reports on KSS. Citigroup raised Kohl’s from a “neutral” rating to a “buy” rating and increased their target price for the stock from $14.00 to $22.00 in a research note on Monday, June 1st. Morgan Stanley restated an “underweight” rating and issued a $15.00 price target on shares of Kohl’s in a research note on Monday, July 6th. Wall Street Zen lowered Kohl’s from a “buy” rating to a “hold” rating in a report on Sunday, June 7th. Bank of America cut their price objective on Kohl’s from $15.00 to $14.00 and set an “underperform” rating for the company in a research report on Friday, May 29th. Finally, Gordon Haskett downgraded Kohl’s from a “buy” rating to a “hold” rating and set a $14.00 target price for the company. in a report on Friday, May 15th. One equities research analyst has rated the stock with a Strong Buy rating, one has assigned a Buy rating, eight have given a Hold rating and five have given a Sell rating to the stock. According to MarketBeat.com, Kohl’s has an average rating of “Reduce” and an average target price of $16.17.

Kohl’s Trading Up 1.7%

Shares of Kohl’s stock opened at $18.24 on Wednesday. The firm has a market cap of $2.07 billion, a price-to-earnings ratio of 7.96 and a beta of 1.40. Kohl’s has a 52-week low of $11.38 and a 52-week high of $25.22. The company’s 50-day simple moving average is $18.24 and its 200-day simple moving average is $16.02. The company has a quick ratio of 0.31, a current ratio of 1.49 and a debt-to-equity ratio of 0.87.

Kohl’s (NYSE:KSS) last announced its quarterly earnings data on Wednesday, August 26th. The company reported $1.28 EPS for the quarter, beating analysts’ consensus estimates of $0.58 by $0.70. Kohl’s had a net margin of 1.75% and a return on equity of 6.75%. The firm had revenue of $3.52 billion during the quarter, compared to the consensus estimate of $3.32 billion. During the same quarter last year, the firm earned $0.56 earnings per share. The firm’s revenue was down .9% compared to the same quarter last year. Kohl’s has set its FY 2026 guidance at 1.800-2.400 EPS. As a group, equities research analysts anticipate that Kohl’s will post 1.26 earnings per share for the current year.

Insider Activity at Kohl’s

In other news, EVP Jennifer J. Kent sold 22,942 shares of the firm’s stock in a transaction that occurred on Monday, August 3rd. The shares were sold at an average price of $20.00, for a total transaction of $458,840.00. Following the completion of the transaction, the executive vice president directly owned 234,452 shares of the company’s stock, valued at $4,689,040. This trade represents a 8.91% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.55% of the stock is owned by corporate insiders.

Institutional Investors Weigh In On Kohl’s

A number of institutional investors and hedge funds have recently bought and sold shares of KSS. Fuller & Thaler Asset Management Inc. acquired a new stake in Kohl’s during the 4th quarter valued at $49,796,000. California State Teachers Retirement System raised its holdings in shares of Kohl’s by 1,591.8% in the second quarter. California State Teachers Retirement System now owns 2,232,773 shares of the company’s stock worth $39,565,000 after acquiring an additional 2,100,798 shares during the last quarter. Wells Fargo & Company MN raised its holdings in shares of Kohl’s by 118.0% in the fourth quarter. Wells Fargo & Company MN now owns 211,640 shares of the company’s stock worth $4,320,000 after acquiring an additional 1,388,707 shares during the last quarter. Renaissance Technologies LLC acquired a new position in shares of Kohl’s in the fourth quarter worth $26,343,000. Finally, Arrowstreet Capital Limited Partnership lifted its position in shares of Kohl’s by 107.9% in the first quarter. Arrowstreet Capital Limited Partnership now owns 2,479,061 shares of the company’s stock valued at $31,980,000 after acquiring an additional 1,286,710 shares in the last quarter. Hedge funds and other institutional investors own 98.04% of the company’s stock.

Kohl’s News Summary

Here are the key news stories impacting Kohl’s this week:

• Positive Sentiment: Q2 earnings and guidance beat expectations: Kohl’s reported adjusted EPS of $1.28, well above estimates near $0.55–$0.58, while revenue of approximately $3.52 billion also exceeded forecasts. The company raised fiscal 2026 EPS guidance to $1.80–$2.40, versus consensus near $1.48, and provided revenue guidance above analysts’ expectations. KSS Q2 Earnings Beat Estimates on Margin Gains, Outlook Raised
• Positive Sentiment: Margins and liquidity improved: Gross-margin expansion, cost controls, inventory discipline and stronger liquidity supported profitability. Kohl’s also continues emphasizing proprietary brands and expense management, reinforcing the value case after the stock’s recent rebound. Kohl’s Q2 Earnings Beat Shifts Focus to Holiday Execution and Margins
• Neutral Sentiment: Valuation offers support, but expectations are rising: Kohl’s trades at a relatively low earnings multiple, and analysts see potential if sales stabilize. However, the 15.6% three-month rally increases the need for convincing holiday-season execution. Telsey Advisory Group raised its price target to $18 but retained a “market perform” rating. Kohl’s Stock Is Up 15.6% in 3 Months: Is the Rebound Sustainable?
• Negative Sentiment: Sales remain the key concern: Net and comparable sales declined 0.9%, extending Kohl’s revenue-reduction streak as budget-conscious consumers prioritize essentials over discretionary merchandise. Investors also questioned whether the earnings beat reflected the underlying business or temporary benefits. Kohl’s Sales Dip As Consumers Prioritize Essentials
• Negative Sentiment: Tariff refunds may overstate the improvement: Approximately $150 million of tariff refunds materially boosted the quarter and outlook. Analysts warn that, excluding this benefit, earnings and gross-margin progress was more limited, while heavier fall promotions could pressure margins. Elevated leverage and Kohl’s large store base remain additional risks.

Kohl’s Company Profile

Kohl’s Corporation, founded in 1962 by Maxwell Kohl and headquartered in Menomonee Falls, Wisconsin, is a leading American department store retailer. The company operates approximately 1,100 stores across 49 states, offering a combination of value-oriented pricing, private-label brands and national labels. Since its initial public offering in 1992, Kohl’s has focused on broadening its product assortment and enhancing the in-store and online shopping experience.

The retailer’s merchandise portfolio spans apparel, footwear, accessories, and beauty products for women, men and children, as well as home goods, kitchenware and seasonal décor.