Kohl’s Soars 12% as Gordon Haskett Upgrades to Buy With $27 Price Target

Kohl's Corporation (KSS) shares rose 12% to $24.78 on Thursday, nearing its 52-week high of $25.22. Analyst Chuck Grom upgraded the stock, citing optimism for the holiday season.

Kohl's (KSS) stock rose after Gordon Haskett analyst Chuck Grom upgraded it to Buy, citing an improving holiday season outlook for the department store. According to Grom, this is the only Buy rating on the stock.

Kohl's (KSS) +8%, Macy's (M) +3% as investors rotate into undervalued department stores, while Abercrombie & Fitch (ANF) -2%. Kohl's reported Q2 EPS beat but declining sales; raised FY guidance. SPDR S&P Retail ETF (XRT) +0.8%.

Kohl's (KSS) reported Q2 2027 net sales of $3.3B, down 0.9% YoY. Gross margin rose to 43.0% due to $100M in tariff refunds. Adjusted EPS guidance raised to $1.80-$2.40. Inventory decreased 3%, while digital sales grew 2.8%. Marketplace sales surged 88%, but Sephora at Kohl's sales fell 4%. The company plans to repurchase $100M in stock and reduce debt.

Kohl's (KSS) reported mixed Q2 results: adjusted EPS rose to $1.28 (from $0.56 YoY), but GAAP EPS fell to $1.28 (from $1.35). Sales declined 0.9%, marking 18 straight quarters of negative comparable sales. The company raised its non-GAAP EPS guidance to $1.80-$2.40, citing $150M in tariff refunds, which drove 98% of gross margin expansion. Management highlighted improved digital sales and inventory management but noted ongoing financial pressures for low- and middle-income customers.

Kohl's reported Q2 earnings, highlighting 3% growth in proprietary-brand sales and 1% growth in home sales. Inventory declined 3%, while receipts increased 7%. Marketplace grew 88% YoY. The company raised its outlook, expecting comparable sales to decline 1.5% to flat and adjusted EPS of $1.80 to $2.40. Kohl's ended the quarter with $821M in cash and resumed share repurchases.