Below are the three companies in the Department Stores industry with the highest forward earnings yields. Using projected earnings for the current fiscal year, the forward earnings yield is useful to compare a stock's return vs. owning a similar stock or other yield assets (e.g. bonds). Generally, the higher the earnings yield, the more undervalued the stock.
Kohl's (NYSE:KSS) is highest with forward earnings yield of 10.2%. Kohl's Corporation operates a chain of family-oriented department stores. The Company's stores feature apparel, footwear and accessories for women, men and children, soft home products such as sheets and pillows, and housewares targeted to middle income customers. Kohl's also offers online shopping as well as offers store credit cards.
In the past 52 weeks, shares of Kohl's have traded between a low of $42.72 and a high of $55.25 and are now at $43.39, which is 2% above that low price. In the last five trading sessions, the 50-day moving average (MA) has fallen 0.9% while the 200-day MA has slid 0.2%.
Macy's (NYSE:M) is next with forward earnings yield of 9.1%.
Finishing up the top three is Dillard's (NYSE:DDS), with forward earnings yield of 7.6%.