Kohl's (KSS) To Report Earnings Tomorrow: Here Is What To Expect

Department store chain Kohl’s (NYSE:KSS) will be reporting results this Tuesday before the bell. Here’s what investors should know.

Kohl's beat analysts’ revenue expectations last quarter, reporting revenues of $3.58 billion, down 3.6% year on year. It was a stunning quarter for the company, with a beat of analysts’ EPS estimates and a solid beat of analysts’ gross margin estimates.

This quarter, the market is expecting Kohl’s revenue to decline 4% year on year, improving from the 9.4% decrease it recorded in the same quarter last year.

Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Kohl's has missed Wall Street’s revenue estimates multiple times over the last two years.

Looking at Kohl’s peers in the general merchandise retail segment, some have already reported their Q4 results, giving us a hint as to what we can expect. Dillard’s revenues decreased 3% year on year, missing analysts’ expectations by 1.5%, and Ross Stores reported revenues up 12.2%, topping estimates by 3.2%. Dillard's traded down 7.1% following the results while Ross Stores was up 8.6%.

The outlook for 2025 remains clouded by potential trade policy changes and corporate tax discussions, which could impact business confidence and growth. While some of the general merchandise retail stocks have shown solid performance in this choppy environment, the group has generally underperformed, with share prices down 9.2% on average over the last month. Kohl's is down 13.9% during the same time and is heading into earnings with an average analyst price target of $21.50 (compared to the current share price of $15.11).