Dateline: NEW YORK, November 25, 2025 – Kohl’s (KSS.N) raised its annual profit forecast for the second time this year Tuesday, sending shares up 24% premarket1.
The retailer’s improved outlook signals its turnaround strategy is gaining traction as it banks on new collections and promotional strategies to drive sales.
Key Takeaways
- Kohl’s raised 2025 EPS guidance to 1.25-1.45 from 0.50-0.80
- Stock surged 24% in premarket trading following announcement
- Second forecast increase this year shows turnaround momentum building
Market Reaction & Context
Kohl’s shares jumped 24% in premarket trading, significantly outperforming other major retailers2. The department store operator’s stock surge contrasts with mixed performance across the retail sector as investors weigh holiday shopping prospects.
The company now expects fiscal 2025 adjusted earnings per share between 1.25 and 1.45, up substantially from its prior range of 50 cents to 80 cents3. This represents the second upward revision to guidance this year, indicating accelerating business momentum.
Turnaround Strategy Takes Hold
Kohl’s is banking on new collections and promotional strategies to drive customer traffic and spending4. The retailer has focused on refreshing its merchandise mix and improving its marketing approach as part of broader efforts to revitalize the brand.
The company also forecast a smaller drop in sales for the full year, suggesting its initiatives are helping stabilize revenue trends5. This marks a notable improvement from earlier in the year when the retailer faced ongoing sales pressures.
Broader Retail Performance
The positive results from Kohl’s come alongside strong performance from other retailers reporting third-quarter earnings. Abercrombie & Fitch also saw shares soar following its quarterly results, indicating selective strength in the retail sector6.
However, the retail landscape remains mixed, with some chains still struggling with consumer spending patterns and inventory management challenges. Kohl’s improved forecast suggests its specific turnaround efforts are resonating with shoppers.
Looking Ahead
The double upgrade to annual forecasts positions Kohl’s as one of the stronger performers in the department store space this year. Investors will be watching whether the company can sustain this momentum through the critical holiday shopping season.
The retailer’s ability to maintain its improved trajectory will depend on continued execution of its merchandising strategy and consumer response to its promotional campaigns. Tuesday’s forecast increase reflects management’s growing confidence in the business turnaround.
Not investment advice. For informational purposes only.
References
1“Nvidia, Dell and Dick’s Sporting Goods fall premarket; Best Buy and Kohl’s rise”. Investing.com. Retrieved November 25, 2025.
2“Kohl’s, Abercrombie stocks soar on Q3 results, Alibaba rises”. Yahoo Finance. Retrieved November 25, 2025.
3Reuters. “Kohl’s raises annual forecasts for second time this year”. Investing.com. Retrieved November 25, 2025.
4“Kohl’s raises annual profit forecast for second time this year”. MarketScreener. Retrieved November 25, 2025.
5“Kohl’s raises annual forecasts again as turnaround takes root – shares jump”. MSN. Retrieved November 25, 2025.
6“Kohl’s Raises Annual Profit Forecast for Second Time This Year”. US News. Retrieved November 25, 2025.