Kohl's Corporation KSS is likely to register declines in the top and bottom lines when it reports third-quarter fiscal 2024 earnings on Nov. 26. The Zacks Consensus Estimate for revenues is pegged at $3.8 billion, which indicates a 5.3% decrease from the year-ago quarter's actual. The consensus mark for quarterly earnings moved down by a penny in the last seven days to 27 cents per share, indicating a decline of 49.1% from the year-ago quarter’s reported figure. KSS has a trailing four-quarter negative earnings surprise of 145.3%, on average.
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Things to Know About KSS’ Upcoming Results
Kohl's continues to face significant challenges due to a tough macroeconomic environment. The company is experiencing pressure from cautious consumer spending, with customers becoming more selective, leading to lower sales despite a rise in transaction frequency. Underlying inflation is affecting purchasing power, especially among middle-income shoppers.
In addition, the ongoing weakness in Kohl’s digital business poses a threat to its performance. The persistence of these factors poses a threat to Kohl’s performance in the to-be-reported quarter, as the company navigates persistent pressures in the current retail environment.
Despite facing challenges, Kohl’s is benefiting from its successful partnership with Sephora. The company has also been prioritizing the growth of underdeveloped categories such as home décor, gifting and impulse items. The continuation of these positive trends is likely to have provided some respite in the fiscal third quarter.
Kohl's Corporation Price and EPS Surprise
Kohl's Corporation price-eps-surprise | Kohl's Corporation Quote
Earnings Whispers for KSS
Our proven model does not conclusively predict an earnings beat for Kohl's this time. The combination of a positive Earnings ESP and a Zacks Rank #1 (Strong Buy), 2 (Buy) or 3 (Hold) increases the odds of an earnings beat, which is not the case here. You can uncover the best stocks to buy or sell before they are reported with our Earnings ESP Filter.
KSS has a Zacks Rank #3 and an Earnings ESP of -7.41%.
Stocks With the Favorable Combination
Here are some companies worth considering, as our model shows that these have the correct combination to beat on earnings this time.
Casey's General Stores CASY currently has an Earnings ESP of +5.22% and a Zacks Rank of 2. The Zacks Consensus Estimate for CASY’s quarterly revenues is pegged at $4.05 billion, which implies a 0.5% decline from the year-ago quarter’s reported figure. You can see the complete list of today’s Zacks #1 Rank stocks here.
However, CASY’s bottom line is anticipated to increase year over year when it reports second-quarter fiscal 2025 results. The consensus estimate for earnings is pegged at $4.28 per share, indicating 0.9% growth from the year-ago quarter. CASY has a trailing four-quarter earnings surprise of 15.8%, on average.
Abercrombie & Fitch ANF currently has an Earnings ESP of +4.59% and a Zacks Rank of 2. ANF is likely to register growth in top and bottom lines when it reports third-quarter fiscal 2024 results.
The Zacks Consensus Estimate for its quarterly revenues is pegged at $1.18 billion, indicating an 11.8% increase from the figure reported in the year-ago quarter. The consensus estimate for ANF’s earnings is pegged at $2.32 per share, implying 26.8% growth from the year-ago quarter’s actual. ANF has a trailing four-quarter earnings surprise of 28%, on average.
Dollar Tree DLTR has an Earnings ESP of +2.80% and a Zacks Rank of 3. The company is likely to register growth in top and bottom lines when it reports third-quarter fiscal 2024 results. The Zacks Consensus Estimate for DLTR’s quarterly revenues is pegged at $7.45 billion, which indicates 1.9% growth from the figure reported in the prior-year quarter.
The consensus estimate for Dollar Tree’s quarterly earnings has risen by 1 cent over the past 30 days to $1.07 per share. The figure calls for growth of 10.3% from the year-ago quarter’s number. DLTR delivered an average negative earnings surprise of 10.9% in the trailing four quarters.
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Kohl's Corporation (KSS) : Free Stock Analysis Report
Dollar Tree, Inc. (DLTR) : Free Stock Analysis Report
Abercrombie & Fitch Company (ANF) : Free Stock Analysis Report
Casey's General Stores, Inc. (CASY) : Free Stock Analysis Report
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