WallStSmart

Kohl's Corporation (KSS)vsMacy’s Inc (M)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Macy’s Inc generates 47% more annual revenue ($22.72B vs $15.46B). M leads profitability with a 2.9% profit margin vs 1.8%. KSS appears more attractively valued with a PEG of 2.14. KSS earns a higher WallStSmart Score of 58/100 (C).

KSS

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 4.0Value: 8.0Quality: 5.0
Piotroski: 4/9Altman Z: 1.81

M

Buy

57

out of 100

Grade: C

Growth: 5.3Profit: 5.0Value: 7.3Quality: 5.5
Piotroski: 5/9Altman Z: 2.62
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

KSSUndervalued (+46.1%)

Margin of Safety

+46.1%

Fair Value

$34.82

Current Price

$15.46

$19.36 discount

UndervaluedFair: $34.82Overvalued
MUndervalued (+33.6%)

Margin of Safety

+33.6%

Fair Value

$32.71

Current Price

$22.16

$10.55 discount

UndervaluedFair: $32.71Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

KSS3 strengths · Avg: 10.0/10
P/E RatioValuation
7.6x10/10

Attractively priced relative to earnings

Price/BookValuation
0.4x10/10

Reasonable price relative to book value

EPS GrowthGrowth
144.7%10/10

Earnings expanding 144.7% YoY

M3 strengths · Avg: 10.0/10
P/E RatioValuation
10.5x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

EPS GrowthGrowth
76.9%10/10

Earnings expanding 76.9% YoY

Areas to Watch

KSS4 concerns · Avg: 3.5/10
PEG RatioValuation
2.144/10

Expensive relative to growth rate

Altman Z-ScoreHealth
1.814/10

Grey zone — moderate risk

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Profit MarginProfitability
1.8%3/10

1.8% margin — thin

M4 concerns · Avg: 3.3/10
Revenue GrowthGrowth
2.1%4/10

2.1% revenue growth

Profit MarginProfitability
2.9%3/10

2.9% margin — thin

Operating MarginProfitability
1.8%3/10

Operating margin of 1.8%

Debt/EquityHealth
1.063/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : KSS

The strongest argument for KSS centers on P/E Ratio, Price/Book, EPS Growth.

Bull Case : M

The strongest argument for M centers on P/E Ratio, Price/Book, EPS Growth.

Bear Case : KSS

The primary concerns for KSS are PEG Ratio, Altman Z-Score, Return on Equity. Debt-to-equity of 1.62 is elevated, increasing financial risk. Thin 1.8% margins leave little buffer for downturns.

Bear Case : M

The primary concerns for M are Revenue Growth, Profit Margin, Operating Margin. Thin 2.9% margins leave little buffer for downturns.

Key Dynamics to Monitor

M carries more volatility with a beta of 1.50 — expect wider price swings.

M is growing revenue faster at 2.1% — sustainability is the question.

M generates stronger free cash flow (204M), providing more financial flexibility.

Monitor DEPARTMENT STORES industry trends, competitive dynamics, and regulatory changes.

Bottom Line

KSS scores higher overall (58/100 vs 57/100). M offers better value entry with a 33.6% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Kohl's Corporation

CONSUMER CYCLICAL · DEPARTMENT STORES · USA

Kohl's Corporation is a retail company in the United States. The company is headquartered in Menomonee Falls, Wisconsin.

Macy’s Inc

CONSUMER CYCLICAL · DEPARTMENT STORES · USA

Macy's, Inc., an omnichannel retail organization, operates stores, websites, and mobile apps under the Macy's, Bloomingdale's and bluemercury brands. The company is headquartered in New York, New York.

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