Morningstar Rating

Stock Research and Analysis

by Paul Swinand

Bulls Say

Kohl's has room to expand into new and existing markets, including the Northeast, if real estate can be found.
Kohl's can continue to expand private-label and exclusive brands, which will increase gross margins over the long run.
Its off-the-mall format distinguishes Kohl's from the rest of the department store industry, which is dominated by mall-based stores that consumers have found less convenient in recent years. Read more 

Bears Say

Kohl's has expanded at an aggressive pace. New stores may cannibalize existing stores, pressuring same-store sales. E-commerce sales will cause the existing store size to be mismatched with demand.
Some traditional department store chains have copied elements of the firm's strategy in an effort to regain lost market share. The increased competition is now pressuring Kohl's revenue growth.
As discounters and midtier stores invest in private and exclusive-label businesses, Kohl's offerings will seem less unique. Read more 

Management

Kevin Mansell stepped into the CEO role in August 2008, replacing R. Lawrence Montgomery, who had served in that role since 1999. We think this was part of a natural succession plan because former president Mansell started working at Kohl's in the 1980s   Read more 

Profile

Kohl's operated more than 1,155 department stores across the United States as of second quarter of 2013. Stores target middle-income and value-focused customers and feature   Read more 

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