The firm believes the stock offers attractive value at current levels due to Kohl's focus of returning cash to its shareholders through stock buybacks and an approximate 4.7% dividend yield, the Fly reports.
The department store operator is based in Menomonee Falls, WI.
Additionally, Guggenheim began coverage of other retailers today. The firm initiated coverage of Coach (COH),Macy's (M), Under Armour (UA) Nordstrom (JWN), Tiffany (TIF), Ross Stores (ROST), TJX (TJX) and PVH (PVH) with "buy" ratings.
Michael Kors (KORS), Ralph Lauren (RL), Target (TGT), Burlington Stores (BURL) and Foot Locker (FL) received "neutral" ratings.
(Kohl'sis held in the Dividend Stock Advisor portfolio. See all of the holdings with afree trial.)
Separately, TheStreet Ratings Team has a "Buy" rating with a score of B- on the stock.
The company's strengths can be seen in multiple areas, such as its increase in net income, attractive valuation levels, good cash flow from operations, expanding profit margins and growth in earnings per share.
The team believes its strengths outweigh the fact that the company has had somewhat disappointing return on equity.
Recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
You can view the full analysis from the report here: KSS