Kohl’s (NYSE:KSS) Shares Gap Down – Should You Sell?

Kohl’s Corporation (NYSE:KSS) shares gapped down before the market opened on Wednesday . The stock had previously closed at $17.68, but opened at $16.65. Kohl’s shares last traded at $17.5540, with a volume of 3,026,364 shares trading hands.

Key Kohl’s News

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

• Positive Sentiment: Kohl’s reported second-quarter EPS of $1.28, well above analyst expectations of roughly $0.55–$0.58 and up from $0.56 a year earlier. Kohl’s Q2 Earnings Beat Estimates
• Positive Sentiment: The retailer raised fiscal 2026 guidance to EPS of $1.80–$2.40 and revenue of $15.3–$15.5 billion, above consensus expectations of $1.48 EPS and $15.0 billion in revenue. Kohl’s Profit, Sales Fall Despite Tariff Refund Boost
• Positive Sentiment: Around $150 million in tariff refunds helped support results and the improved outlook, while management cited better same-store sales trends and progress on its turnaround initiatives. Kohl’s Falls Despite Raised Guidance and Tariff Refund
• Neutral Sentiment: Kohl’s appointed Arianne Parisi as chief customer officer, a move intended to strengthen customer-focused initiatives but unlikely to materially affect near-term earnings. Kohl’s Names Arianne Parisi Chief Customer Officer
• Negative Sentiment: Revenue fell about 0.9% year over year, with sales reported around $3.3–$3.5 billion and viewed by some analysts as below expectations. Comparable-sales weakness suggests cautious consumers remain reluctant to spend on discretionary merchandise. Kohl’s Misses Quarterly Sales Estimates
• Negative Sentiment: Investors appear skeptical that the earnings strength is sustainable because tariff refunds provided a one-time benefit, while management acknowledged that significant work remains on the turnaround. The combination of falling sales and limited confidence in the recovery outweighed the earnings and guidance beats. Kohl’s Comparable Sales Fall and Turnaround Work Remains

Analyst Ratings Changes

A number of equities research analysts recently weighed in on KSS shares. Bank of America decreased their price objective on shares of Kohl’s from $15.00 to $14.00 and set an “underperform” rating for the company in a report on Friday, May 29th. Gordon Haskett cut shares of Kohl’s from a “buy” rating to a “hold” rating and set a $14.00 price target for the company. in a research report on Friday, May 15th. JPMorgan Chase & Co. boosted their price objective on shares of Kohl’s from $15.00 to $17.00 and gave the stock an “underweight” rating in a research note on Tuesday, August 18th. Morgan Stanley reissued an “underweight” rating and issued a $15.00 price objective on shares of Kohl’s in a research note on Monday, July 6th. Finally, Zacks Research lowered Kohl’s from a “strong-buy” rating to a “hold” rating in a report on Monday, June 15th. One equities research analyst has rated the stock with a Buy rating, nine have assigned a Hold rating and six have given a Sell rating to the company. According to data from MarketBeat.com, the stock has an average rating of “Reduce” and an average price target of $15.46.

Kohl’s Stock Up 2.1%

The business’s fifty day moving average price is $18.20 and its two-hundred day moving average price is $16.02. The company has a debt-to-equity ratio of 0.93, a quick ratio of 0.31 and a current ratio of 1.48. The firm has a market capitalization of $2.05 billion, a P/E ratio of 7.65 and a beta of 1.40.

Kohl’s (NYSE:KSS) last posted its quarterly earnings data on Wednesday, August 26th. The company reported $1.28 EPS for the quarter, topping the consensus estimate of $0.58 by $0.70. Kohl’s had a net margin of 1.76% and a return on equity of 4.67%. The firm had revenue of $3.52 billion during the quarter, compared to analyst estimates of $3.32 billion. During the same quarter in the previous year, the business posted $0.56 EPS. Kohl’s’s revenue was down .9% on a year-over-year basis. Kohl’s has set its FY 2026 guidance at 1.800-2.400 EPS. Equities analysts expect that Kohl’s Corporation will post 1.38 earnings per share for the current fiscal year.

Kohl’s Dividend Announcement

The firm also recently disclosed a quarterly dividend, which will be paid on Wednesday, September 23rd. Stockholders of record on Wednesday, September 9th will be issued a dividend of $0.125 per share. This represents a $0.50 annualized dividend and a dividend yield of 2.8%. The ex-dividend date is Wednesday, September 9th. Kohl’s’s dividend payout ratio is currently 21.19%.

Insider Buying and Selling at Kohl’s

In related news, EVP Jennifer J. Kent sold 22,942 shares of the business’s stock in a transaction on Monday, August 3rd. The stock was sold at an average price of $20.00, for a total transaction of $458,840.00. Following the transaction, the executive vice president directly owned 234,452 shares in the company, valued at $4,689,040. The trade was a 8.91% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. 1.55% of the stock is owned by insiders.

Institutional Investors Weigh In On Kohl’s

Several institutional investors have recently added to or reduced their stakes in the business. IFP Advisors Inc boosted its stake in Kohl’s by 3,777.6% in the 3rd quarter. IFP Advisors Inc now owns 1,900 shares of the company’s stock worth $31,000 after purchasing an additional 1,851 shares in the last quarter. Farther Finance Advisors LLC increased its position in shares of Kohl’s by 233.9% in the 4th quarter. Farther Finance Advisors LLC now owns 1,666 shares of the company’s stock valued at $34,000 after acquiring an additional 1,167 shares during the period. iSAM Funds UK Ltd purchased a new position in Kohl’s in the 3rd quarter worth $39,000. Plato Investment Management Ltd purchased a new position in Kohl’s in the 4th quarter worth $42,000. Finally, Hantz Financial Services Inc. lifted its position in Kohl’s by 164.7% during the 4th quarter. Hantz Financial Services Inc. now owns 2,102 shares of the company’s stock worth $43,000 after acquiring an additional 1,308 shares during the period. Institutional investors and hedge funds own 98.04% of the company’s stock.

About Kohl’s

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.