KOHLS CORP (KSS) Stock Fundamental Analysis
USA - NYSE:KSS - US5002551043 - Common Stock
15.41 USD
-0.32 (-2.03%)
15.5 USD
+0.09 (+0.58%)
Overall KSS gets a fundamental rating of 3 out of 10. We evaluated KSS against 30 industry peers in the Broadline Retail industry. KSS has a medium profitability rating, but doesn't score so well on its financial health evaluation. KSS has a valuation in line with the averages, but on the other hand it scores bad on growth.
1. Profitability
1.1 Basic Checks
In the past year KSS was profitable.
KSS had a positive operating cash flow in the past year.
The reported net income has been mixed in the past 5 years: KSS reported negative net income in multiple years.
Each year in the past 5 years KSS had a positive operating cash flow.
1.2 Ratios
Looking at the Return On Assets, with a value of 1.55%, KSS is in line with its industry, outperforming 46.67% of the companies in the same industry.
KSS has a Return On Equity (5.30%) which is comparable to the rest of the industry.
KSS's Return On Invested Capital of 4.31% is in line compared to the rest of the industry. KSS outperforms 43.33% of its industry peers.
Measured over the past 3 years, the Average Return On Invested Capital for KSS is significantly below the industry average of 10.17%.
The last Return On Invested Capital (4.31%) for KSS is above the 3 year average (3.96%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 5.3% | ||
| ROIC | 4.31% |
ROA(3y)0.98%
ROA(5y)1.62%
ROE(3y)3.5%
ROE(5y)5.5%
ROIC(3y)3.96%
ROIC(5y)4.98%
1.3 Margins
KSS has a Profit Margin (1.31%) which is in line with its industry peers.
KSS's Profit Margin has declined in the last couple of years.
Looking at the Operating Margin, with a value of 3.28%, KSS is in line with its industry, outperforming 46.67% of the companies in the same industry.
In the last couple of years the Operating Margin of KSS has declined.
KSS has a Gross Margin of 40.48%. This is in the lower half of the industry: KSS underperforms 60.00% of its industry peers.
In the last couple of years the Gross Margin of KSS has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 3.28% | ||
| PM (TTM) | 1.31% | ||
| GM | 40.48% |
OM growth 3Y-28.67%
OM growth 5Y-12.36%
PM growth 3Y-48.17%
PM growth 5Y-27.94%
GM growth 3Y-0.57%
GM growth 5Y0.61%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is below the Cost of Capital (WACC), so KSS is destroying value.
The number of shares outstanding for KSS remains at a similar level compared to 1 year ago.
Compared to 5 years ago, KSS has less shares outstanding
Compared to 1 year ago, KSS has about the same debt to assets ratio.
2.2 Solvency
KSS has an Altman-Z score of 1.62. This is a bad value and indicates that KSS is not financially healthy and even has some risk of bankruptcy.
Looking at the Altman-Z score, with a value of 1.62, KSS is in line with its industry, outperforming 53.33% of the companies in the same industry.
The Debt to FCF ratio of KSS is 8.52, which is on the high side as it means it would take KSS, 8.52 years of fcf income to pay off all of its debts.
KSS's Debt to FCF ratio of 8.52 is in line compared to the rest of the industry. KSS outperforms 46.67% of its industry peers.
KSS has a Debt/Equity ratio of 1.02. This is a high value indicating a heavy dependency on external financing.
KSS's Debt to Equity ratio of 1.02 is on the low side compared to the rest of the industry. KSS is outperformed by 76.67% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 8.52 | ||
| Altman-Z | 1.62 |
ROIC/WACC0.48
WACC8.97%
2.3 Liquidity
KSS has a Current Ratio of 1.36. This is a normal value and indicates that KSS is financially healthy and should not expect problems in meeting its short term obligations.
KSS has a worse Current ratio (1.36) than 66.67% of its industry peers.
KSS has a Quick Ratio of 1.36. This is a bad value and indicates that KSS is not financially healthy enough and could expect problems in meeting its short term obligations.
Looking at the Quick ratio, with a value of 0.19, KSS is doing worse than 93.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.19 |
3. Growth
3.1 Past
The earnings per share for KSS have decreased strongly by -38.04% in the last year.
The earnings per share for KSS have been decreasing by -21.05% on average. This is quite bad
Looking at the last year, KSS shows a decrease in Revenue. The Revenue has decreased by -7.23% in the last year.
Measured over the past years, KSS shows a decrease in Revenue. The Revenue has been decreasing by -4.08% on average per year.
EPS 1Y (TTM)-38.04%
EPS 3Y-41.2%
EPS 5Y-21.05%
EPS Q2Q%-5.08%
Revenue 1Y (TTM)-7.23%
Revenue growth 3Y-5.84%
Revenue growth 5Y-4.08%
Sales Q2Q%-5.05%
3.2 Future
The Earnings Per Share is expected to grow by 17.67% on average over the next years. This is quite good.
KSS is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 0.45% yearly.
EPS Next Y-50.67%
EPS Next 2Y-30.78%
EPS Next 3Y-27.03%
EPS Next 5Y17.67%
Revenue Next Year-4.81%
Revenue Next 2Y-3.12%
Revenue Next 3Y-1.29%
Revenue Next 5Y0.45%
3.3 Evolution
The EPS growth rate is accelerating: in the next years the growth will be better than in the last years.
The Revenue growth rate is accelerating: in the next years the growth will be better than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 9.75 indicates a reasonable valuation of KSS.
Compared to the rest of the industry, the Price/Earnings ratio of KSS indicates a rather cheap valuation: KSS is cheaper than 83.33% of the companies listed in the same industry.
KSS's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 25.47.
With a Price/Forward Earnings ratio of 21.44, KSS is valued on the expensive side.
KSS's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 35.42. KSS is valued slightly cheaper when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.75 | ||
| Fwd PE | 21.44 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, KSS is valued cheaper than 90.00% of the companies in the same industry.
Based on the Price/Free Cash Flow ratio, KSS is valued cheaper than 93.33% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 3.6 | ||
| EV/EBITDA | 4.5 |
4.3 Compensation for Growth
KSS's earnings are expected to decrease with -27.03% in the coming years. This may justify a cheaper valuation.
PEG (NY)N/A
PEG (5Y)N/A
EPS Next 2Y-30.78%
EPS Next 3Y-27.03%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 2.86%, KSS has a reasonable but not impressive dividend return.
Compared to an average industry Dividend Yield of 13.24, KSS pays a better dividend. On top of this KSS pays more dividend than 90.00% of the companies listed in the same industry.
Compared to an average S&P500 Dividend Yield of 2.44, KSS has a dividend comparable with the average S&P500 company.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
5.2 History
The dividend of KSS decreases each year by -5.49%.
KSS has paid a dividend for at least 10 years, which is a reliable track record.
KSS has not decreased its dividend in the last 3 years.
Dividend Growth(5Y)-5.49%
Div Incr Years0
Div Non Decr Years4
5.3 Sustainability
66.83% of the earnings are spent on dividend by KSS. This is not a sustainable payout ratio.
DP66.83%
EPS Next 2Y-30.78%
EPS Next 3Y-27.03%
15.41
-0.32 (-2.03%)
Chartmill FA Rating
GICS SectorConsumer Discretionary
GICS IndustryGroupConsumer Discretionary Distribution & Retail
GICS IndustryBroadline Retail
Earnings (Last)
Earnings (Next)
Inst Owners106.61%
Inst Owner Change-6.8%
Ins Owners3.31%
Ins Owner Change-0.24%
Market Cap1.73B
Revenue(TTM)15.89B
Net Income(TTM)208.00M
Analysts50
Price Target13.46 (-12.65%)
Short Float %27.13%
Short Ratio6.22
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 2.86% |
Yearly Dividend2
Dividend Growth(5Y)-5.49%
DP66.83%
Div Incr Years0
Div Non Decr Years4
Ex-Date
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)70.57%
Min EPS beat(2)51.41%
Max EPS beat(2)89.73%
EPS beat(4)3
Avg EPS beat(4)35.13%
Min EPS beat(4)-29.1%
Max EPS beat(4)89.73%
EPS beat(8)6
Avg EPS beat(8)-53.87%
EPS beat(12)9
Avg EPS beat(12)-42.94%
EPS beat(16)12
Avg EPS beat(16)-27.31%
Revenue beat(2)0
Avg Revenue beat(2)-0.09%
Min Revenue beat(2)-0.12%
Max Revenue beat(2)-0.07%
Revenue beat(4)0
Avg Revenue beat(4)-1.28%
Min Revenue beat(4)-4.55%
Max Revenue beat(4)-0.07%
Revenue beat(8)0
Avg Revenue beat(8)-2.09%
Revenue beat(12)1
Avg Revenue beat(12)-1.22%
Revenue beat(16)3
Avg Revenue beat(16)-0.28%
PT rev (1m)0%
PT rev (3m)75.66%
EPS NQ rev (1m)-7.9%
EPS NQ rev (3m)-10.98%
EPS NY rev (1m)1.74%
EPS NY rev (3m)65.2%
Revenue NQ rev (1m)-0.39%
Revenue NQ rev (3m)0.15%
Revenue NY rev (1m)-0.05%
Revenue NY rev (3m)0.29%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 9.75 | ||
| Fwd PE | 21.44 | ||
| P/S | 0.11 | ||
| P/FCF | 3.6 | ||
| P/OCF | 1.9 | ||
| P/B | 0.44 | ||
| P/tB | 0.44 | ||
| EV/EBITDA | 4.5 |
EPS(TTM)1.58
EY10.25%
EPS(NY)0.72
Fwd EY4.66%
FCF(TTM)4.28
FCFY27.79%
OCF(TTM)8.09
OCFY52.52%
SpS141.75
BVpS35.04
TBVpS35.04
PEG (NY)N/A
PEG (5Y)N/A
Graham Number35.29
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.55% | ||
| ROE | 5.3% | ||
| ROCE | 4.8% | ||
| ROIC | 4.31% | ||
| ROICexc | 4.38% | ||
| ROICexgc | 4.38% | ||
| OM | 3.28% | ||
| PM (TTM) | 1.31% | ||
| GM | 40.48% | ||
| FCFM | 3.02% |
ROA(3y)0.98%
ROA(5y)1.62%
ROE(3y)3.5%
ROE(5y)5.5%
ROIC(3y)3.96%
ROIC(5y)4.98%
ROICexc(3y)4.02%
ROICexc(5y)5.42%
ROICexgc(3y)4.02%
ROICexgc(5y)5.42%
ROCE(3y)4.45%
ROCE(5y)5.55%
ROICexgc growth 3Y-33.7%
ROICexgc growth 5Y-15.18%
ROICexc growth 3Y-33.7%
ROICexc growth 5Y-15.18%
OM growth 3Y-28.67%
OM growth 5Y-12.36%
PM growth 3Y-48.17%
PM growth 5Y-27.94%
GM growth 3Y-0.57%
GM growth 5Y0.61%
F-Score5
Asset Turnover1.19
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.02 | ||
| Debt/FCF | 8.52 | ||
| Debt/EBITDA | 3.23 | ||
| Cap/Depr | 59.55% | ||
| Cap/Sales | 2.69% | ||
| Interest Coverage | 1.76 | ||
| Cash Conversion | 73.26% | ||
| Profit Quality | 230.77% | ||
| Current Ratio | 1.36 | ||
| Quick Ratio | 0.19 | ||
| Altman-Z | 1.62 |
F-Score5
WACC8.97%
ROIC/WACC0.48
Cap/Depr(3y)80.66%
Cap/Depr(5y)70.48%
Cap/Sales(3y)3.58%
Cap/Sales(5y)3.19%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)-38.04%
EPS 3Y-41.2%
EPS 5Y-21.05%
EPS Q2Q%-5.08%
EPS Next Y-50.67%
EPS Next 2Y-30.78%
EPS Next 3Y-27.03%
EPS Next 5Y17.67%
Revenue 1Y (TTM)-7.23%
Revenue growth 3Y-5.84%
Revenue growth 5Y-4.08%
Sales Q2Q%-5.05%
Revenue Next Year-4.81%
Revenue Next 2Y-3.12%
Revenue Next 3Y-1.29%
Revenue Next 5Y0.45%
EBIT growth 1Y-21.65%
EBIT growth 3Y-32.84%
EBIT growth 5Y-15.93%
EBIT Next Year126.26%
EBIT Next 3Y30.3%
EBIT Next 5Y22.35%
FCF growth 1Y9.09%
FCF growth 3Y-52.2%
FCF growth 5Y-25.67%
OCF growth 1Y-14.11%
OCF growth 3Y-34.17%
OCF growth 5Y-17.12%
KOHLS CORP / KSS FAQ
What is the ChartMill fundamental rating of KOHLS CORP (KSS) stock?
ChartMill assigns a fundamental rating of 3 / 10 to KSS.
Can you provide the valuation status for KOHLS CORP?
ChartMill assigns a valuation rating of 5 / 10 to KOHLS CORP (KSS). This can be considered as Fairly Valued.
Can you provide the profitability details for KOHLS CORP?
KOHLS CORP (KSS) has a profitability rating of 4 / 10.
What is the earnings growth outlook for KOHLS CORP?
The Earnings per Share (EPS) of KOHLS CORP (KSS) is expected to decline by -50.67% in the next year.
Can you provide the dividend sustainability for KSS stock?
The dividend rating of KOHLS CORP (KSS) is 4 / 10 and the dividend payout ratio is 66.83%.