The 3 Ways Kohl's Can Still Save Itself
Kohl's (NYSE: KSS) has shed roughly a third of its market value over the past 12 months, as its comparable-store sales withered and its gross margin contracted. Like many other struggling brick-and-mortar retailers, Kohl's is desperately using markdowns to stay afloat.
That strategy flopped throughout fiscal 2019. Kohl's comps declined in the first half of the year, then stayed nearly flat in the third quarter. It recently revealed that its sales fell 0.2% annually in November and December, and revised its full-year earnings guidance toward the "low end" of its prior forecast for a decline of 12% to 15%.
In short, none of the turnaround strategies Kohl's implemented over the past year -- including its partnership with Amazon (NASDAQ: AMZN) and an apparel deal with the Olsen Twins -- brought back shoppers. Kohl's didn't offer any guidance for fiscal 2020, which starts in February, but analysts expect its revenue to rise less than 1% and for its earnings to dip another 4%.
Source Fool.com
