Principal Financial Group Inc. recently revealed to the Securities and Exchange Commission (SEC) that it had reduced its shareholdings in Kohl’s Co. (NYSE:KSS) by a whopping 8.7% during the fourth quarter, thereby selling off 43,369 shares within that period and retaining only 457,449 shares at the end of it. Kohl’s reported earnings per share of $0.13 for the quarter ending May 24th, which exceeded market expectations by $0.57 as well as recording revenue amounting to $3.57 billion for the same duration which also surpassed forecasted value by $0.2 billion.
Despite recording negative figures in net margin and return on equity values, Kohl’s has remained optimistic with company insiders showing confidence in the company through personal stocks purchases; this is according to CEO Thomas Kingsbury who bought 92,500 shares worth about $2 million at an average share price of $21.82 during a transaction executed on March 29th earlier this year.
Market watchers have reacted positively to these moves and predicted better things for the retail giant with an expected EPS projection for Kohl’s Co presently resting at $2.36 for their current fiscal year based on gathered analytics from equities analysts across multiple sectors.
There exists an air of positivity surrounding such recent developments within Kohl’s stock markets transactions regardless of Principal Financial Group Inc.’s divestment strategy towards its previous holdings within that section of stock operations.
In conclusion, investors have viewed these occurrences as indicators of potential long-term success as evident in insider trades conducted over time; thus recommending holds or buys within existing portfolios while urging caution against any excessive sale activities among other things that can impact negatively on overall marketplace behavior patterns related to Kohl’s stock prices and market trends going forward into tomorrow and beyond.
Kohl’s Co. Attracts Institutional Investors Despite Mixed Ratings
Kohl’s Co. has recently been making headlines, with institutional investors buying and selling shares of the company. Russell Investments Group Ltd., Dupont Capital Management Corp, Whitebox Advisors LLC, Caxton Associates LP and Ironwood Investment Management LLC are among the institutional investors who have recently acquired Kohl’s shares.
Russell Investments Group Ltd., for instance, grew its stake in Kohl’s by 279.7% in the 3rd quarter and now owns over 222,000 shares of the stock valued at $5.6 million. Similarly, Dupont Capital Management Corp purchased a new position in Kohl’s stock worth $1.1 million during the 4th quarter.
Meanwhile, CEO Thomas Kingsbury has also made his own investment in Kohl’s by acquiring over 92,000 shares of the company’s stock valued at over $2 million. This purchase represents a strong vote of confidence from senior management in Kohl’s future prospects.
Despite these positive developments, some experts remain tepid on Kohl’s future prospects. Several research firms have given the company a “hold” rating and downgraded its price target to as low as $19 per share.
Nevertheless, Kohl’s remains an appealing option for dividend-seeking investors due to its upcoming quarterly payout of $0.50 per share on June 21st. Moreover, insiders now own approximately 0.60% of the company’s stock.
Overall, it will be interesting to see how these competing dynamics–institutional investors’ bullishness vs research firms’ bearishness–play out for Kohl’s moving forward.
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