Kohl's shares have returned 55.7% over the past 12 months, against 15.1% for the S&P 500. Yet the retailer owes more than twice what its stock is worth: shares are valued at $2.8 billion, while the whole business is valued at $8.4 billion once net debt is added. Profit over the past 12 months totalled $270 million, including $151 million in the quarter that ended August 1, 2026. About $100 million of tariff refunds lowered that quarter's costs, and the company's outlook does not count on more refunds. Operating margin is 3.9%, against 18.5% for the S&P 500. Free cash flow reached $1.03 billion, up from $480 million a year earlier, and long-term debt is at its lowest since 2007. Kohl's plans about $100 million in share buybacks for 2026, but price competition may squeeze its thin margins.

Kohl's shares jumped 12% on Thursday after Gordon Haskett upgraded the retailer to Buy from Hold with a $27 price target. The S&P 500 fell more than 1% that day. The firm sees the turnaround as still early but points to steadier traffic. Declines have eased to the mid-single digits since June, from the high single digits earlier this year. Wall Street's average target is $19. Haskett's $27 equals about 18x forward earnings, against a five-year average of 13x. In the second quarter, net sales slipped 0.9% and gross margin rose to 43.0%. Management raised its full-year outlook and restarted share buybacks. The third-quarter report in November will show whether October's traffic gain turned into sales.

Kohl's is launching its annual Deal Days event from 6-8 October with steeper discounts than usual as the retailer battles declining sales and customer visits. The company reported a 0.9% drop in comparable sales year-over-year in Q2 2026, whilst store visits fell 1.4%. The event offers up to 50% off thousands of items, including Sephora products, toys, and home goods. Kohl's has also introduced daily limited-time deals for the first time, with some products discounted up to 60%. Customers receive $10 in Kohl's Cash for every $50 spent. The promotion coincides with similar events from Amazon, Target, and Walmart as retailers compete for price-conscious holiday shoppers facing persistent inflation and elevated credit card debt.