Kohl's (KSS) PT Lowered to $11 at Citi

Citi analyst Paul Lejuez lowered the price target on Kohl's (NYSE: KSS) to $11.00 (from $14.00) while maintaining a Neutral rating.

The analyst comments "We expect 4Q EPS/sales approximately inline w/consensus. We model 4Q EPS of $0.72 (vs Factset consensus $0.75 and implied guidance of $0.65-0.95) w/comps -7.0% (vs consensus -6.9% and vs guidance of down 5-8%). As we have heard from other retailers that reported holiday sales or 4Q earnings, we believe KSS saw an improvement in cold weather items in 4Q vs 3Q, and our Placer foot traffic data point to a sequential acceleration in traffic in the qtr (we model comps improving to -7% in 4Q from -9% in 3Q). For F25, we expect new CEO Ashley Buchanan to set the bar realistically and guide comps -LSD (rather than be optimistic about top-line growth). We expect F24 EPS guidance of $0.70-1.30 (vs consensus of $1.28). Short interest remains very high (40% of float), but we do not expect anything in the 4Q report to cause a short squeeze."

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