Kohl’s Shares Tumble After Sales Trail Analysts’ EstimatesJames Callan
Kohl’s Corp. shares tumbled the most since the retailer’s initial public offering more than 20 years ago after the company reported quarterly sales that trailed analysts’ estimates.
Kohl’s dropped 13 percent to $64.62 at the close in New York, the biggest one-day decline since its IPO in May 1992. The stock was the worst performer on Standard & Poor’s 500 Index, which was up 1.1 percent.
“Sales were modestly below our original expectations for the quarter, but accelerated in the March/April combined period after a weak February,” Chief Executive Officer Kevin Mansell said in a statement on Thursday.
Sales in the quarter ended May 2 rose 1.3 percent to $4.12 billion, the Menomonee Falls, Wisconsin-based retailer said. Analysts projected $4.19 billion, the average of estimates compiled by Bloomberg. Same-store sales advanced 1.4 percent, compared with a forecast for a gain of 2.6 percent, according to Consensus Metrix.