The earnings report from Kohl’s Corporation (NYSE: KSS) was partly like the Macy’s Inc. (NYSE: M) report yesterday, but the outlook from Kohl’s leaves a simple observation: Macy’s is taking share from Kohl’s. That is the verdict from the stock trading at any rate.
The department store chain beat earnings this morning at $0.84 EPS vs. $0.82 expected from Thomson Reuters. Revenues were up 7.7% to $4.1 billion, effectively in-line with the $4.09 billion expected. Same store sales rose 4.6%.
It is the next quarter guidance where things get cloudy at Kohl’s as it sees $0.57 to $0.63 EPS versus an estimate of $0.74 EPS from Thomson Reuters. It sees revenues rising 4.5% to 6.5% from a year before to $4.23 to $4.31 billion, mostly in-line with $4.29 billion expected from Thomson Reuters. Kohl’s also sees same-store sales up 2% to 4% for the quarter. This sounds like over-promotion being the kicker with discounting.
The end of year quarter is seen at $1.51 to $1.59 EPS versus $1.57 EPS expected from Thomson Reuters. Revenues were projected up 4.5% to 6.5% to roughly $5.94 billion to $6.05 billion versus Thomson Reuters consensus estimates. It sees same-store sales being up 2% to up 4%.
Macy’s managed to close up by $1.14 at $20.52 yesterday despite the triple-digit DJIA losses. Kohl’s fell $0.65 to $47.78 yesterday with the broader market and shares are down another $1.50 to $46.28 in pre-market trading.
JON C. OGG
Take This Retirement Quiz To Get Matched With An Advisor Now (Sponsored)
Are you ready for retirement? Planning for retirement can be overwhelming, that’s why it could be a good idea to speak to a fiduciary financial advisor about your goals today.
Start by taking this retirement quiz right here from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes. Smart Asset is now matching over 50,000 people a month.
Click here now to get started.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.