Kohl’s says it’s no longer a department store | CNN Business (2024)

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Kohl’s says it’s no longer a department store | CNN Business? ›

“We're evolving our position from a department store to a more focused lifestyle concept centered around the active and casual lifestyle,” Kohl's CEO Michelle Gass said in a presentation to investors Monday.

March 12 (Reuters) - Kohl's (KSS. N) , opens new tab on Tuesday forecast annual sales and profit largely below market expectations, joining Macy's and Nordstrom to warn of a challenging year for U.S. department stores.

Kohl's is one of many businesses that reacted to the changing times, shifting to a "more focused lifestyle concept" in 2022. But even with a new company strategy in play over the past few years, it appears the retailer is still struggling to attract customers.

The department store chain is also facing increasing competition from the likes of discounters and discount stores like TJ Maxx that offer trendy apparel at affordable prices. The results missed Wall Street expectations, and Kohl's offered a disappointing outlook. Shares of the retailer dropped more than 25%.

In an earnings call Tuesday, the company said it would discontinue carrying the “down-trending” Dana Buchman, Elle, Jennifer Lopez, Mudd, Candie's, PopSugar, Rock & Republic and Juicy Couture brands in favor of labels in the active category, Chain Store Age reported.

Fundamentally, large department stores are at a disadvantage compared to e-commerce giants with more efficient distribution networks. Assuming electricity, labor, and item costs continue to rise, Kohl's core competitive disadvantage will likely become more considerable.

KSS Stock 12 Month Forecast

Based on 11 Wall Street analysts offering 12 month price targets for Kohl's in the last 3 months. The average price target is $21.09 with a high forecast of $27.00 and a low forecast of $15.00. The average price target represents a -2.90% change from the last price of $21.72.

Kohl's has been the recipient of takeover bids from private equity firm Sycamore Partners and Franchise Group, a retail holding company, The Wall Street Journal (WSJ) wrote Thursday (June 2).

Kohl's is no longer for sale. The department store announced Friday that it has ended its strategic review process and will no longer consider selling itself to Franchise Group (FRG), a holding company that owns The Vitamin Shoppe and other retail brands.

August 23, 2023 | 9:30 P.M. Kohl's is the latest retailer dedicated to expanding its physical footprint by going smaller. The Menominee Falls, Wisconsin-based department store chain, which has 1,171 locations, is planning to open just over a half-dozen new ones this year, according to Tom Kingsbury, the company's CEO.

What company wants to buy Kohls? ›

Franchise Group Inc., which owns the Vitamin Shoppe, Pet Supplies Plus and other retailers, said it has entered into a three-week exclusive negotiation period to acquire Kohl's for $60 a share. Franchise Group said it would kick in $1 billion, but most of the deal will be financed by selling Kohl's real estate.

*No, Kohl's is not owned by Amazon.

Infect Amazon didn't plan to buy Kohls. However, Kohl's provides services to Amazon for inventory returns management.

Retailers are overstocked on clothing, and some are packing it away in hopes of selling it in future seasons. Kohl's (KSS), Gap (GPS), Carter's (CRI) and other chains have said in recent weeks that they will hold some unsold merchandise in their warehouses and put it back on shelves later this year and in 2023.

(Reuters) - Kohl's Corp said the coronavirus crisis would have a material impact on results this year as it removed eight brands including Jennifer Lopez, Juicy Couture and Popsugar from its stores and warned demand for women's apparel would remain weak.

In-store, Kohl's will reduce its assortment within some brands as much as 40%. It will shrink its offering of handbags, fine jewelry, and men's suits—areas that have seen sales decline—making space to increase inventory of healthier categories.

Kohl's is no longer for sale. The department store announced Friday that it has ended its strategic review process and will no longer consider selling itself to Franchise Group (FRG), a holding company that owns The Vitamin Shoppe and other retail brands.

Kohl's will eliminate 250 corporate positions in a company restructuring aimed at improving efficiency, according to reporting in the Milwaukee Sentinel Journal.

There are 1,176 Kohls stores in the United States as of June 04, 2024. The state and territory with the most number of Kohls locations in the US is California, with 117 stores, which is about 10% of all Kohls stores in the US.

Kohl's ownership is compiled of both retail investors and institutions. In 2022, Kohl's was sold to The Copps Corporation which expanded its ownership to other shareholders.