) posted a decline in same-store sales results for the month of
November. Total sales for the period decreased, partially due to
Superstorm Sandy and also as result of a shift towards e-commerce
Kohl's comparable store sales declined 5.6% for the four-weeks
ended November 24, 2012 versus a decline of 6.2% in the four-week
month ended November 26, 2011. Kohl's total sales dipped 4.9% in
the month of November 2012 to $1.84 billion compared with a
decline of 4.9% to $1.93 billion in the year-ago month.
Sales declined in all the regions, with Mid-Atlantic and
Northeast regions strongly affected due to Superstorm Sandy.
Though sales improved over the Thanksgiving week and in the
e-commerce channel, the company was significantly impacted by the
overall sluggish sales.
Kohl's reported third quarter results on November 8. The
company's net sales climbed 2.6% year over year to $4.5 billion
in the third quarter of 2012 owing to a 1.1% year-over-year
increase in comparable store sales.
Kohl's also stated that it expects sales growth in a range of
7% to 8% while comparable-store sales are expected to increase 3%
to 4% for the fourth quarter of 2012. However, the company's
negative same store sales in the month of November might lead to
negative same-store sales for the fourth quarter of 2012.
Currently, we maintain a long-term Neutral recommendation on
the stock. Kohl's holds a Zacks #3 Rank (short-term Hold rating)
while its peer
Ross Stores Inc.
) holds a Zacks #2 Rank (short-term Buy rating), having posted
positive sales and comparable store sales in the month of
KOHLS CORP (KSS): Free Stock Analysis Report
ROSS STORES (ROST): Free Stock Analysis
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