0$0.00

No products in the cart.

Jim Cramer says ‘Kohl’s is just roadkill’ after ‘terrible’ holiday sales


CNBC’s Jim Cramer slammed Kohl’s on Thursday after the embattled retailer reported a disappointing same-store sales decline during November and December and warned on outlook.

“Kohl’s is just roadkill,” Cramer said on “Squawk on the Street.” “I’m speechless … I’m as quiet as the registers at Kohl’s.”

Kohl’s did not immediately respond to CNBC’s request for comment.

Shares of the department store were down nearly 10% on Thursday to under $45 each around midday. That’s only about 3% above the 52-week low of $43.33 in August.

Over the past 12 months, Kohl’s stock fell more than 35%, compared with the S&P 500‘s 26% advance over the same time period.

Kohl’s, which also lowered its full-year outlook Thursday, attributed its November-December decline of 0.2% in same-store sales to weakness in its core women’s apparel business. Kohl’s will report full fourth-quarter earnings on March 3.

“That was … a terrible holiday season,” said Cramer, the host of “Mad Money.”

Cramer said he was stunned that Kohl’s was unable to translate its high-profile partnership with Amazon into holiday success.

The partnership, announced last year, allows Amazon customers to return packages at Kohl’s stores. Kohl’s then offers discounts to people who take advantage of the service. This holiday season was the first in which the Amazon partnership was in place at all Kohl’s locations nationwide.

“It feels like people returned things to Amazon and then ran out of the store,” Cramer said, adding he was “baffled” that Kohl’s continues to try initiatives to boost sales yet struggles to see meaningful business growth.

“They’re just trying to stay in the game,” said Cramer, who also took Kohl’s to task in November after the company reported weaker-than-expected third-quarter earnings and revenue and cut guidance.

Meanwhile, Bank of America on Thursday downgraded Kohl’s shares to neutral from buy, with a price target of $50 per share. “We worry the Kohl’s will need to continue to spend and promote to attract and retain new customers,” BofA’s retail analysts said in the note to clients.

The news of Kohl’s sales decline came one day after department store rival Macy’s reported its holiday same-store sales dropped 0.6%. Shares of Macy’s rose on the news since the decline was not as bad as expected.

Disclosure: Cramer’s charitable trust own shares of Amazon and Kohl’s.



Source link

Coolwick.com