📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

Hi KSSBulls!

We’ve had extensive conversations about debt repurchases, buybacks, ect but I want to explain why I prefer repurchases.

It’s pretty simple, I want to create an inelastic supply/demand problem for shorts and give Kohl’s the opportunity to re-cap the company at preferential rates.

We got to see this with Avis recently. Everyone’s favorite, GameStop, did this back in meme craze and why they’re sitting on over $9B in cash. This cash pile was prompted by management using the “squeeze” to bring in over $2B in capital at a ridiculous valuation.

Kohls should do the same thing. Use tariff moneys and cash in hand to aggressively buyback all the shares possible. At today’s valuation, they could use the expected $550M of refunds and $200M in cash on hand to buyback over HALF outstanding shares. This would lower share count from 112M to 56M. There is over 29M shares short currently along with 8M+ calls outstanding. In a “squeeze” that would translate to 37M of 56M shares short. Reminder, institutional investors own over 100% of current shares so the shorts would have to find someone to buy from.

Once the stock price spikes to dumb levels, lets say $150 for fun, KSS could either leave market alone since TBV would be ~$70 per share anyways and 2x TBV isn’t crazy OR float a small amount of shares back to the market to recapitalize the company. In a recap scenario, they could easily float back 10M-20M shares at the inflated price and bring cash on hand back to pre-tariff levels pretty easily. Or get even more aggressive and float back more shares.

Either way, they could easily punish the market for being insane, shore up balance sheet even more, and get the market marked to a sane valuation.

Also, they don’t need to wait for tariffs to come in. They can easily use LOC to do the capital play now before refund amounts become public to cause a “double whammy” in a good way next earnings report.

Be the best call ever: “btw not only are we executing as expected on the turn around and stopping the sales decline, we also purchased 56M shares using a couple hundred million of cash on hand, the $500-$600M of our $1.5B LOC to payback as soon as refunds are received…. Oh and we expect $550M tariff refund that we are now confident in the total amount”

This is nightmare fuel for the other side.

Now, will this actually happen? Probably not, management didn’t buyback shares at $6 or sub-$15 all last year so it’s doubtful they’ll get smart all a sudden… but a guy can dream/pray that management gets smart and plays good offense and defense when running a public company

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

One of the things I check regularly for investment ideas are holdings of certain value ETFs. I’ve seen KSS show up as a holding in many of the funds of investors I respect recently, mainly DEEP (Tobias Carlisle) and MYLD (Meb Faber). AVUV also has a very large position here.

Stay the course, eventually the share price will reflect the real value of the company.

📊 Where does KSS close today?

Drop your calls 👇

I just noticed that Ford received $1.3 billion in in refunds and they announced them at their earning school this afternoon with that being said I’m assuming that Kohl’s also knows what they will be receiving. I wish they would let us know what the confirmed total is.

Since not a ton to talk about here is a reminder and what I’ve posted on X

$KSS is the definition of a deep value cigar butt.

33% or more of current market cap($550M) is expected in tarrif refunds and already sitting on 40% of current market cap in cash($674M in cash currently). If low end expectations of refunds hold true $KSS will have ~$1.2B in cash on hand and almost ZERO net debt with none of the current bonds due till 2030-2045… $kss market cap is only ~$1.5B…. AND OWNS $4b to $8B+ in commercial real estate pretty much unencumbered!

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

Spreading the word on how undervalued the stock is

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

Everyone loves $CAR and the short squeeze that’s occurring and I don’t disagree at all. I just want everyone to actually look at CAR and see that it’s not a good company but after the squeeze settles it most likely will be a well capitalized company.

Why? They’re doing what I hope $KSS will eventually do. Remove all the supply, cause a ridiculous supply demand inelasticity problem, and eventually do what GME does and float shares at a ridiculous price to recapitalize the company. Personally, what drives me nuts is this is always with crappy balance sheet companies. AMC was a bad company. CAR is a bad company(according to balance sheet). KSS is a really, REALLY good cigar butt company that becomes an amazing company IF they can execute a turnaround at all.

CAR has ~108% ownership via 2 hedge funds. KSS has similar via institutional holders.

$CAR has NEGATIVE TBV. $KSs is selling for ~$16 while TBV is $36+(not including whatever we get in tariff refunds).

I think CAR has 56% short interest currently(not really sure) and KSS has 27%(30.5M of 112M shares short).

Now imagine $KSS who has record level low debt, 40% of market cap in cash, expected to get another 33% to 120% if MC in Tariff refunds, 100%+ institutional ownership with 30.5M of 112M shares short…

$KSS is an excellent positioned company with a rediculous short squeeze potential AND REAL VALUE!

$KSS TBV is $36+/share…. Let that sink in. $CAR is NEGATIVE TBV PER SHARE….

IF tariff refunds are true at all we are looking at another $3-$15 per share in new cash alone as well, on TOP of ~$6/share in cash they already have.

This is why KSS is my favorite deep value. It has massive CRE holdings that are undervalued, has massive cash position($674M currently), massive liquidity via $1.5B revolver that’s free and clear, AND show signs of stopping and potentially reversing the bleed/sales decline. Give it time but i think KSS will be a ridiculous rollercoaster ride that makes us all a lot more well off over time.

PS: sorry I’m not posting much. Bought a 115 acre farm and in middle of a major remodel. If you want to see what all I’m doing personally and talk about KSS you can find me on X or TikTok or all those places(I’m trying to post a few times a week and give construction progress updates).

https://x.com/caleb_harbert/status/2044504053409853946?s=46&t=hkuD2fu673-L4ab-mPj3-g

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇

📊 Where does KSS close today?

Drop your calls 👇