Kohl’s Corporation [NYSE:KSS]: Analyst Rating and Earnings
Stock market traders oftentimes pay a lot of attention to what top analysts say regarding a potential investment. Regarding Kohl’s Corporation [KSS], the latest average analyst recommendation we can see is from the quarter closing in January. On average, stock market experts give KSS an Outperform rating. Its stock price has been found in the range of 57.89 to 83.28. This is compared to its latest closing price of $69.91.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Kohl’s Corporation [KSS] is sitting at 2.40. This is compared to 1 month ago, when its average rating was 2.40.
For the quarter ending in Jan-19 Kohl’s Corporation [KSS] generated $6.54 billion in sales. That’s 0.66% lower than the average estimate of $6.58 billion as provided by Wall Street analysts. The three indicators above suggest that on the whole, this stock is not presenting an attractive investment option, as there are too many red flags that don’t point to a high-value ROI.
Pay attention for this company’s financial results, of which the next release is scheduled to happen on Tue 28 May (In 42 Days).
Fundamental Analysis of Kohl’s Corporation [KSS]
Now let’s turn to look at profitability: with a current Operating Margin for Kohl’s Corporation [KSS] sitting at +7.24 and its Gross Margin at +34.93, this company’s Net Margin is now 4.00%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 15.35, and its Return on Invested Capital has reached 11.70%. Its Return on Equity is 14.63, and its Return on Assets is 6.21. These metrics show a mixed bag, which means that this investment’s attractiveness can be quickly increased or decreased in the short term, depending on future updates KSS financial performance.
Turning to investigate this organization’s capital structure, Kohl’s Corporation [KSS] has generated a Total Debt to Total Equity ratio of 65.51. Similarly, its Total Debt to Total Capital is 39.58, while its Total Debt to Total Assets stands at 29.04. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 61.23, and its Long-Term Debt to Total Capital is 36.99. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 5.94 and its Total Debt to EBITDA Value is 1.49. The Enterprise Value to Sales for this firm is now 0.71, and its Total Debt to Enterprise Value stands at 0.26. Kohl’s Corporation [KSS] has a Price to Book Ratio of 1.97, a Price to Cash Flow Ratio of 5.22 and P/E Ratio of 14.40. These metrics all suggest that Kohl’s Corporation is more likely to generate a positive ROI.
Shifting the focus to workforce efficiency, Kohl’s Corporation [KSS] earns $156,814 for each employee under its payroll. Similarly, this company’s Receivables Turnover is 444.59 and its Total Asset Turnover is 1.57. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.50 and its Current Ratio is 1.77. This company, considering these metrics, has a healthy ratio between its short-term liquid assets and its short-term liabilities, making it a less risky investment.
Kohl’s Corporation [KSS] has 166.48M shares outstanding, amounting to a total market cap of $11.64B. Its stock price has been found in the range of 57.89 to 83.28. At its current price, it has moved by -16.09% from its 52-week high, and it has moved 20.71% from its 52-week low.
This stock’s Beta value is currently 0.81, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 50.70. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Kohl’s Corporation [KSS] a Reliable Buy?
Kohl’s Corporation [KSS] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.