Kohl's Corp Stock Forum

The payout ratios suggest a sustainable dividend, but declining earnings could threaten this in the future. More attractive dividend prospects may exist elsewhere.

Despite disappointing Q4 results, Kohl's CEO emphasized the best comparable sales since 2010 and expansion plans. The CFO, however, acknowledged macroeconomic uncertainty.

The company's lack of profitability and shrinking revenue explain the share price decline over five years. Imminent investor enthusiasm for this stock seems slim. Despite dividends boosting total shareholder return, Kohl's shareholders only gained a 20% return last year, falling short of the market.

Kohl's lower returns on the same capital suggest it may not be a growth stock. The market reflects this with a 51% depreciation in the company's stock over five years. Consider other investments unless these trends reverse.

Despite a tough sales climate, department store stocks have remained resilient, with shares rising 25.6% on average since the last earnings. Dillard's surpassed operating profit and EPS forecasts despite missing revenue. Macy's had an outstanding quarter, exceeding both earnings and revenue predictions. Nordstrom underperformed against analyst estimates, while Kohl's had a mixed quarter, missing same-store and net sales, but improved gross margin and expense control resulted in an EPS beat.