Bulletin
Investor Alert

Market Pulse Archives

Jan. 18, 2022, 6:19 a.m. EST

Kohl's stock could be worth $100 a share if balance sheet optimized, activist investor Macellum says

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Kohl's Corp. (KSS)
  • X
    SPDR S&P Retail ETF (XRT)
  • X
    S&P 500 Index (SPX)

or Cancel Already have a watchlist? Log In

By Tomi Kilgore

Activist investor Macellum Advisors GP LLC said Kohl's Corp. /zigman2/quotes/210414114/composite KSS -12.97% leadership has been "materially mismanaging" the business, and plans to nominate a number of candidates for the board of directors unless the board addresses the long-term underperformance of the stock. Kohl's stock slipped 0.6% in premarket trading. Macellum, which owns nearly 5% of the shares outstanding, said it believes the stock could be valued at $100 per share, or more than double Friday's closing price of $47.77, if Kohl's were to make changes to improve operation execution and optimize its balance sheet, which could include selling some of its $7 billion-to-$8 billion worth of real estate assets. Macellum said if Kohl's is unwilling to make suggested changes, it should explore strategic alternatives, including a possible sale of the company. It has gained 9.6% over the past 12 months through Friday, while the SPDR S&P Retail ETF /zigman2/quotes/206947004/composite XRT -2.17% has rallied 16.2% and the S&P 500 /zigman2/quotes/210599714/realtime SPX +0.01% has advanced 23.7%.

/zigman2/quotes/210414114/composite
US : U.S.: NYSE
$ 39.20
-5.84 -12.97%
Volume: 11.39M
May 20, 2022 4:00p
P/E Ratio
6.08
Dividend Yield
5.10%
Market Cap
$5.04 billion
Rev. per Employee
$196,293
loading...
/zigman2/quotes/206947004/composite
US : U.S.: NYSE Arca
$ 61.33
-1.36 -2.17%
Volume: 11.37M
May 20, 2022 4:00p
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,901.36
+0.57 +0.01%
Volume: 3.00B
May 20, 2022 5:03p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Industries

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.