Kohl's Corp. (KSS) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

Revolve Group, Inc.

Betterware de México SAB de CV

Dillard's, Inc.

Amazon.com, Inc.

Macy's, Inc.

Ollie's Bargain Outlet Holdings, Inc.

Nordstrom, Inc.

Kohl's Corp.

Wayfair, Inc.

Qurate Retail, Inc.

Why is Kohl's Corp. ?

Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.23 times

Flat results in Jul 25

OPERATING CASH FLOW(Y) Lowest at USD 907 MM
DIVIDEND PAYOUT RATIO(Y) Lowest at 9.31%
CASH AND EQV(HY) Lowest at USD 327 MM

With ROCE of 8.95%, it has a very attractive valuation with a 0.87 Enterprise value to Capital Employed

The stock is trading at a fair value compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 61.81%, its profits have fallen by -23.2%
At the current price, the company has a high dividend yield of 547.4

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Market Beating Performance

The stock has generated a return of 61.81% in the last 1 year, much higher than market (S&P 500) returns of 14.11%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Kohl's Corp. should be less than 10%
Overall Portfolio exposure to Retailing should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Kohl's Corp. for you?

High Risk, Low Return

Absolute

Risk Adjusted

Volatility

Kohl's Corp.

35.11%

0.04

98.75%

S&P 500

13.68%

0.70

20.15%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

-1.10%

EBIT Growth (5y)

32.81%

EBIT to Interest (avg)

2.52

Debt to EBITDA (avg)

1.23

Net Debt to Equity (avg)

0.56

Sales to Capital Employed (avg)

2.81

Tax Ratio

12.32%

Dividend Payout Ratio

205.51%

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

12.45%

ROE (avg)

9.53%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.15

EV to EBIT

12.26

EV to EBITDA

5.07

EV to Capital Employed

1.11

EV to Sales

0.39

PEG Ratio

Dividend Yield

0.92%

ROCE (Latest)

9.04%

ROE (Latest)

4.96%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Bearish

Mildly Bullish

RSI

No Signal

Bollinger Bands

Bearish

Moving Averages

Mildly Bullish (Daily)

KST

Bearish

Bullish

Dow Theory

No Trend

Mildly Bearish

OBV

No Trend

Mildly Bearish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

4What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 1,226 MM

RAW MATERIAL COST(Y)

Fallen by -0.11% (YoY

DEBT-EQUITY RATIO (HY)

Lowest at 169.41 %

-9What is not working for the Company

PRE-TAX PROFIT(Q)

At USD 2 MM has Fallen at -90.91%

NET PROFIT(Q)

At USD 12 MM has Fallen at -45.45%

CASH AND EQV(HY)

Lowest at USD 318 MM

INVENTORY TURNOVER RATIO(HY)

Lowest at 2.52 times

DIVIDEND PER SHARE(HY)

Lowest at USD 0

OPERATING PROFIT MARGIN(Q)

Lowest at 7.08 %

Here's what is working for Kohl's Corp.

Operating Cash Flow

Highest at USD 1,226 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Debt-Equity Ratio

Lowest at 169.41 %

in the last five Semi-Annual periods

MOJO Watch

The company has been reducing its borrowing as compared to equity capital

Debt-Equity Ratio

Raw Material Cost

Fallen by -0.11% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales

Here's what is not working for Kohl's Corp.

Pre-Tax Profit

At USD 2 MM has Fallen at -90.91%

Year on Year (YoY)

MOJO Watch

Near term Pre-Tax Profit trend is very negative

Pre-Tax Profit (USD MM)

Net Profit

At USD 12 MM has Fallen at -45.45%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is very negative

Net Profit (USD MM)

Operating Profit Margin

Lowest at 7.08 %

in the last five periods

MOJO Watch

Company's profit margin has deteriorated

Operating Profit to Sales

Cash and Eqv

Lowest at USD 318 MM

in the last six Semi-Annual periods

MOJO Watch

Short Term liquidity is deteriorating

Cash and Cash Equivalents

Inventory Turnover Ratio

Lowest at 2.52 times

in the last five Semi-Annual periods

MOJO Watch

Company's pace of selling inventory has slowed

Inventory Turnover Ratio

Dividend per share

Lowest at USD 0

in the last five years

MOJO Watch

Company is distributing lower dividend than previous years

DPS (USD)