Kohls Corp (NYSE:KSS), the latest retailer to step into the earnings confessional, is up 12% to trade at $16.10, reversing premarket losses. The company's adjusted fourth-quarter earnings of $1.07 toppled the 85-cent estimates, helping overshadow revenue and full-year guidance missing their mark.
Kohl's stock yesterday traded as low as $14.87, its lowest level since October and a 41% drawdown from its Dec. 1, 52-week peak of $25.22. Despite today's rally, the shares are still 22% lower in 2026.
Options traders lean bullish, per the equity's 10-day call/put volume ratio of 3.07 at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which stands higher than 77% of annual readings.
Given that short interest accounts for nearly 25% of the stock's total available float, its possible some of these calls could be shorts seeking an options hedge.
Drilling down to today's options activity, 4,533 calls and 3,009 puts have crossed the tape so far today, which is seven times the volume typically seen at this point. The most active contract is the weekly 3/13 16 call, followed by the 11-strike put in that series.
