Kohl’s is betting on a shopping boom. The retailer raised its revenue and profit forecast for 2021 on Thursday after its quarterly earnings crushed Wall Street’s estimates.
The mid-priced department store chain is the latest U.S. retailer to point to a rebound in demand as vaccinated shoppers flock back to stores.
Quarterly sales rocketed 70%, and the retailer swung to a profit from a loss last year. Kohl’s earnings on a per-share basis were 26 times larger than analysts had estimated.
But Kohl’s good news wasn’t good enough for investors, who by now expect great things from the retail resurgence. Kohl’s sales outlook was weaker than analysts were expecting, and shares fell sharply in early trading Thursday.