Kohl’s

Under Armour (NYSE:UA,NYSE:UAA) is in trouble. Under Armour stock plunged 17% last week after its fourth quarter earnings release -- but that's not the only problem. In fact, that's not even the biggest problem.Source: 2p2play / Shutterstock.com The issues facing Under Armour go well beyond a single report. After all, investors knew before the earnings report that the company's turnaround was going to take time.Certainly, it isn't good news that Under Armour management itself believes little fundamental progress will be made in 2020. But that outlook would be tolerable if investors could have faith that progress was coming at some point.InvestorPlace - Stock Market News, Stock Advice & Trading TipsIt's difficult, if not outright impossible, to have that faith at this point. Increasingly, Under Armour looks like a broken company. That, more than a single year's guidance, is the problem with Under Armour stock. How Under Armour Stock Got HereGive credit where credit is due. Under Armour, under founder and former chief executive officer Kevin Plank, pioneered an entirely new category of athletic wear. A company founded in 1996 had nearly $5 billion in sales two decades later -- and a market capitalization nearing $10 billion. * 7 Failing Tech Stocks to Disconnect From Now But since Under Armour stock peaked in 2016, pretty much everything has gone wrong. Strategically, the company erred by expanding distribution to weaker retailers like Kohl's (NYSE:KSS) and now-bankrupt Sports Authority. Those moves undercut the brand -- and the company's pricing power.Under Armour's assortment hasn't kept pace, either. While Lululemon Athletica (NASDAQ:LULU) drove market-leading growth in the "athleisure" category, Under Armour stayed stuck on the performance side. The company never truly has cracked the code in the women's market, and initial success in footwear thanks to a partnership with NBA superstar Stephen Curry has faded.It's the company's culture that might be the most concerning: a Wall Street Journal report in late 2018 detailed concerning behaviors among executives and questionable treatment of female employees.Under Armour promised to do better -- and, in some ways, it has. But UAA employees I spoke with still describe a toxic work environment and low morale. It's not difficult to get the sense that something is seriously wrong with Under Armour as a company. UAA Stock TanksUnder Armour's numbers certainly suggest that's the case. The culprit behind last week's sell-off wasn't fourth quarter results themselves. It was the guidance for 2020.The company is guiding for revenue to decline year-over-year by a "low single-digit" percentage. That comes after just 1% growth in 2019. In other words, 2020 sales should be roughly in line with those in 2018. In North America, revenues should decline as much as 10% over that stretch.It's only in relatively new international markets where Under Armour is seeing sales increase. At home, the company is losing to Nike (NYSE:NKE) and adidas (OTCMKTS:ADDYY).Bottom-line numbers are even worse: 2020 guidance is for earnings per share of just 10 cents to 13 cents; compare that to 2016, when the company generated 45 cents in EPS.That guidance suggests net margins at less than 0.5% of revenue. This is a company that just last year was promising operating margins over 10% by 2023. EPS was supposed to grow at a 40% annual rate for several years. Instead, guidance suggests net profits will fall 35-50% in 2020.This isn't the first time Under Armour has overpromised. Unless something changes soon, it likely won't be the last. The Bottom Line: Not Enough of a Bull CaseIt's possible Under Armour can find a way to a turnaround. Plank stepped down last year. Management last week floated the idea of another restructuring, which could reduce longer-term costs. Sub-1% margins are a worry now -- but they also leave substantial room for improvement.But there's just no evidence right now to suggest that improvement is coming. Nike and Adidas have caught up in performance wear. Lululemon dominates on the women's side. Under Armour, meanwhile, has lost its way. It will take years for the company to find it again.Matthew McCall left Wall Street to actually help investors -- by getting them into the world's biggest, most revolutionary trends BEFORE anyone else. The power of being "first" gave Matt's readers the chance to bank +2,438% in Stamps.com (STMP), +1,523% in Ulta Beauty (ULTA) and +1,044% in Tesla (TSLA), just to name a few. Click here to see what Matt has up his sleeve now. Matt does not directly own the aforementioned securities. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Failing Tech Stocks to Disconnect From Now * 5 Ideal Dividend Stocks for New Investors * 4 Stocks to Buy No Matter Who Wins the 2020 Election The post It Can Absolutely Get Worse for Under Armour Stock appeared first on InvestorPlace. […]

Moody's rating action reflects a base expected loss of 3.8% of the current pooled balance, compared to 3.0% at Moody's last review. For provisional ratings, this announcement provides certain regulatory disclosures in relation to the provisional rating assigned, and in relation to a definitive rating that may be assigned subsequent to the final issuance of the debt, in each case where the transaction structure and terms have not changed prior to the assignment of the definitive rating in a manner that would have affected the rating. […]

Kohl’s (NYSE: KSS) today announced a donation of more than $2 million to the American Cancer Society, over three years, to support the enhancement and continuation of the Kohl’s Healthy Families program. Established in 2015, this program supports the reduction of cancer risk for families in Southeastern Wisconsin by increasing access to healthy foods and improving opportunities to become more active through community education, collaboration and engagement. […]

Heavily-shorted stocks are supposed to be the domain of smart money. But it doesn't always work out that way for those investors. And right now I'm willing to give those pros the benefit of the doubt on one of their bearish bets and two names which have me thinking of the movie Dumb & Dumber. Let me explain.The market seemingly just won't go down. Not that there aren't more than a few professionals quietly betting against it, in heavily-shorted stocks or vis-a-vis obfuscated options strategies that are much more difficult to track. But that doesn't make these investors right. Actually, far from it.Bottom line, the trend is your friend. And right now the broader trend is still bullish despite the market even having to endure end-of-days style threats from the coronavirus virus the past couple weeks. I'm personally amazed at this resilience. However, I'm also unwilling to simply bet against it as some are doing.InvestorPlace - Stock Market News, Stock Advice & Trading Tips * 7 Exciting Stocks to Buy for Aggressive Investors Having said that, let's look at one smart money shorted stock opportunity where the trend is in fact working and two instances where those investors look a bit more like Lloyd Christmas and Harry Dunne. Shorted Stocks: Kohl's (KSS) Source: Charts by TradingViewBrick-and-mortar department store chain Kohl's (NYSE:KSS) is our first shorted stock. And here, we have to agree with the outfit's resident bear population of nearly 15%. Not only did last April's 'package return' partnership with retail and tech giant Amazon (NASDAQ:AMZN) mark a key high in shares and fail to bring in paying customers, this heavily-shorted name has now announced a necessitated restructuring due to its ailing ways.For today's bearish traders, there's more to the story. The price chart in KSS stock continues to paint a grim picture for bulls that's ripe for shorting. As the provided weekly chart shows, it's been a profitable ride for bears in this shorted stock since the Amazon deal established an irregular, i.e. high right, shoulder.Now a bearish weekly cup-with-handle developed off last year's low and a subsequent 'return move' which aggressively turned Kohl's shares back towards those lows, is setting up. As much, it's time to join the smart money in KSS stock.KSS Stock Strategy: I'd recommend gaining bearish exposure in this shorted stock beneath the handle low of $42.50. The pattern entry also requires the consolidation's high of $46.47 from last week remains intact. Failing that, all bets are off the table. And it nearly goes without saying, if a short is elected, a later-dated failure of the handle would be a strong reason to exit the position. YETI Holdings (YETI) Source: Charts by TradingViewYeti (NYSE:YETI) is the next shorted stock to catch our eye. Here though, my view is that YETI stock's 50%-plus short interest are being 'dumb,' and this high-end cooler upstart and cooler-than-cool hip brand should be on the radar for buying.Technically, the recent IPO has put together a very durable technical consolidation that has combined two bases over the course of nine-plus months. But some might point out this is the result of a failed cup breakout, and further, last week's attempt to rally above the second corrective base didn't work out either. But there are reasons to believe the third time will prove the charm for bulls.Following this week's solid earnings beat and despite trading lower, YETI stock has nevertheless maintained its technical composure by establishing a weekly doji. What's more, the 'decision' candlestick has formed a new pivot low within the combined base's bullishly-trending series of higher lows. All told, there's solid technical evidence hinting that this shorted stock's bears are about to be put on ice! * 7 Exciting Stocks to Buy for Aggressive Investors YETI Stock Strategy: Buy YETI stock above $36.73. This entry confirms the decision candlestick as a bullish pattern. It also has the added advantage of clearing the first base's original breakout attempt. Use the candlestick low, if required, as a very real reason to abort while containing risk to a reasonable level. Tesla (TSLA) Source: Charts by TradingViewTesla (NASDAQ:TSLA) is the last of our shorted stocks. The EV manufacturer is also another buy candidate where the bears could be acting even 'dumber.' Short interest on a percentage basis isn't outrageously high in Tesla. But due to the company's $145 billion market cap, in dollar terms it is the largest short in the market at the moment.Technically, shares of Tesla broke out of a triangle consolidation on Thursday. It bodes well for bulls, as the formation has the advantage of being a continuation pattern. And as everyone knows, except maybe Ralph Nader, this shorted stock has been on a tear and delivering massive profits to bullish investors.Now and following news of a secondary priced at $767 and shares holding the pattern breakout above $800, there's strong evidence off and on the price chart that bullish investors remain in the driver's seat.TSLA Stock Strategy: With shares near $804, this shorted stock is in position for buying. I'd personally recommend the use of a slightly out-of-the-money bull call spread to limit and reduce risk while leveraging one's upside profit potential. Either way, I'd also recommend using $755 for closing the long if needed. That does a good job of minimizing exposure even more. And as the price pattern suggests, that's enough leeway on the Tesla chart as well.Investment accounts under Christopher Tyler's management do not currently own positions in securities mentioned in this article. The information offered is based upon Christopher Tyler's observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits. More From InvestorPlace * 2 Toxic Pot Stocks You Should Avoid * 7 Exciting Stocks to Buy for Aggressive Investors * 20 Stocks to Buy From the Law of Accelerating Returns * 7 U.S. Stocks to Buy on Coronavirus Weakness The post 3 Heavily Shorted Stocks to Turn a Profit On appeared first on InvestorPlace. […]

It could be a bad 2020 for Under Armour. […]