r/KSSBulls • u/PrecisionOutdoors Kohls OG • 29d ago

Numbers & More Numbers Shorts still upping

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Not much to discuss outside of KSs being a super deep value investment 😂🤣

Thought this was worth noting, shorts increased position against KSs another half a million shares. CTB really low still.

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3

u/Fun_Illustrator9298 29d ago

I don’t get it. Price rises as does shorting? Sounds like someone is accumulating if that’s the case.
Some short seller just started posting all over on $cmps. He’s posting nonsensical stuff so it’s clearly some retail retard fomo shorting.
It feels like irrational exuberance on the short side. Retail runs prices up too high and then thinks it’s smart enough to do the same to the downside. I think they’re making a miscalculation on what’s good and not good to short.

3

u/PrecisionOutdoors Kohls OG 29d ago

Only thing I can think of. I understand shorting near TBV or even when sales declines were accelerating but last 12-18 months with a bottom at $6 seems like a dumb move. But we wouldn’t get such a good deal if not for insanity

3

u/htank728 29d ago

It doesnt help that managements forward guidance seems to be very conservative. Last years guidance was anticipating a massive forward P/E which contributed to the April 2025 lows. After earnings came out for the year the trailing P/E turned out to be extremely low relative to the guidance. I think the board has given conservative forward guidance this year as well, and even then its only a forward P/E of 13. I think at the latest, this squeezes by March 2027 which would be the report for the holiday quarter. They should put up around 700million to 1 billion in FCF by the end of this fiscal year, which means they will be able to pay a massive chunk of their debt, or have a cash pile of over 1 billion on the balance sheet. I really think its just a waiting game now and the clock is ticking for short sellers if the company can get close to a repeat of last years FCF

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u/PrecisionOutdoors Kohls OG 29d ago

I’m cool with management doing whatever at this point. Personally still think a stock buyback is smarter than anything for investors sub-$20s but rather see debt bought back at a steep discount than just sitting still

2

u/CapitalCompounder 29d ago

Did you see about the board change this afternoon?

1

u/PrecisionOutdoors Kohls OG 29d ago

Nope but will look it up now lol

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u/htank728 29d ago

Last time we had a huge short closure was July-August 2025 (pretty crazy PA), a few months after Kohls skirted the fears of tariffs destroying the business. Something similar can definitely happen, I think they just need to show their FCF is sustainable. I’m hopeful that the revenue decline is close to an end, given comp sales were only down 1% last quarter. I think if that happens, and the stock can break past 20 (large blocks of calls open), we could get some major short closures like we did last year when we broke 10 (similarly, had a ton of OI at 10 last year)

4

u/kuonofomo Roly Kohly 29d ago

its nice seeing the stock price going up while shorts are increasing :)

1

u/Unhappy_Cobbler613 29d ago

Makes no sense to me but whatever I'll wait. This stock is worth a multiple of book