Why Kohl's Stock Skyrocketed This Week
Real Estate
The Motley Fool

Why Kohl's Stock Skyrocketed This Week

Why This Matters

Kohl's saw its valuation surge this week thanks to meme-stock trading and a short squeeze.

July 27, 2025
05:30 AM
2 min read
AI Enhanced

Kohl's (KSS -6 (an important development). 09%) stock recorded explosive gains over the last week of trading. Nevertheless, The company's price rose 33.

Meanwhile, 5% compared to its level at the previous Friday's market close -- a stretch that saw the S&P 500 index rise 1 (this bears monitoring).

While there was no major -specific news for the company, its valuation surged thanks to meme-stock trading and a short squeeze.

Even with the big rally this week, the retailer's price is still down roughly 9% in 2025 and 56% over the last three years (an important development). Image source: Getty Images.

Kohl's stock surges on meme-stock and short-squeeze momentum Kohl's stock surged as it became a play among meme-stock traders, and the momentum helped spur a moderate short squeeze that helped push its valuation even higher.

Due to consistent struggles facing the retailer, investors had placed significant bets against the company by selling its stock short.

Additionally, Moreover, With the company's price seeing a huge rally this week, short sellers were forced to buy back the stock they had lent out in short sales, which had the effect of pushing Kohl's stock even higher (remarkable data).

What's next for Kohl's, in light of current trends.

Furthermore, Kohl's could continue to see bullish momentum connected to meme-stock trading in the near term, but the company's performance outlook is fraught.

With its last, Kohl's guided for sales to fall between 5% and 7% this year.

In contrast, Meanwhile, same-store sales are jected to fall between 4% and 6%, and the midpoint of the company's earnings target implies a roughly 64% annual decline in fitability.

As part of the meme-stock play, some investors have jumped into the stock with expectations that the company's commercial real estate holdings could be undervalued, but that looks a risky investment thesis (remarkable data) (which is quite significant).

FinancialBooklet Analysis

AI-powered insights based on this specific article

Key Insights

  • Earnings performance can signal broader sector health and future investment opportunities
  • Consumer sector trends provide insights into economic health and discretionary spending patterns

Questions to Consider

  • Could this earnings performance indicate broader sector trends or company-specific factors?
  • What does this consumer sector news reveal about economic health and spending patterns?

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