Kohl's Corporation Shares Drop 13% Following Investor Day
<p><a href='https://financialmodelingprep.com/financial-summary/KSS'>Kohl's Corporation (NYSE:KSS) </a>shares closed almost 13% lower on Monday following the company’s Investor Day. Analysts at Deutsche Bank provided their key takeaways from the event.</p>
<p>According to the analysts, currently, the company is different from what it was pre-pandemic and the analysts expect the ongoing profitability to be driven by (1) growth in active and casual categories, (2) the Sephora partnership, which is expected to drive $2 billion in sales, (3) smaller new format stores, (4) improved inventory allocation and pricing optimization, and (5) marketing efficiency and further labor automatization. </p>
<p>While the analysts believe the company’s new financial framework underwhelmed investors as there was no change to the prior operating margin outlook of 7-8% that was first provided in October 2020, the analysts believe management is taking a prudent approach given a number of headwinds, including (1) cost inflation, (2) elevated freight expenses, (3) wage investments, and (4) increasing digital penetration.</p>

NYSE:KSS