Kohl’s Corporation (NYSE:KSS) stock rose Tuesday after the company reported third-quarter fiscal 2025 results. The stock may also be rising amid high short interest.
Details
The company reported adjusted earnings per share of 10 cents, beating the analyst consensus estimate of a loss of 20 cents.
Quarterly revenue came in at $3.41 billion, up 2.8% year over year and ahead of the Street’s $3.32 billion estimate, while comparable sales declined 1.7%.
Also Read: Kohl’s Names New CEO Amid Sales Slump— Q3 Earnings In Focus On Tuesday
Gross margin as a percentage of net sales was 39.6%, an increase of 51 basis points.
Adjusted operating income was $77 million compared to $98 million in the prior year. Adjusted operating margin was 2.2%.
Operating cash flow stood at $124 million compared to a use of $195 million in the prior year.
The company exited the quarter with cash and equivalents worth $144 million.
In the quarter under review, long-term debt increased $348 million due to the issuance of $360 million of 10.000% senior secured notes due 2030.
Management Commentary
Michael J. Bender, Chief Executive Officer, said, “We are pleased with Kohl’s third quarter results, marking a third consecutive quarter of delivering top-line and bottom-line performance ahead of our expectations. These results are a direct reflection of the progress we are making against our 2025 initiatives, reinforcing our confidence as we continue to move in the right direction.”
Kohl’s Board declared a quarterly cash dividend of 12.5 cents per share, payable on December 24, 2025, to shareholders of record as of December 10, 2025.
Outlook
Kohl’s raised its fiscal 2025 adjusted EPS guidance to $1.25–$1.45 (from 50–80 cents), versus the consensus of 71 cents. The company expects net sales to decline between 3.5% and 4%.
Kohl’s Corporation said its Board unanimously named Michael J. Bender CEO, effective November 23, 2025. He has been interim CEO since May 1, 2025, and will continue on the Board.
Elevated Short Interest
The company has a short float of 29.29 million shares, representing 36.75% of its publicly traded float, indicating a very high level of short interest from investors wagering on further downside in the stock.
Price Action: KSS shares were trading higher by 33.76% to $21.04 at last check Tuesday.
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