JWN
Nordstrom, Inc.
stock NYSE

Alright I need someone to explain this to me because I'm genuinely confused.
I track unusual options flow (it's a problem, I know) and this morning someone dropped a net **$16.6 MILLION** betting Kohl's goes UP. Not Tesla. Not NVIDIA. Fucking Kohl's.
Stock's at $23.36. Already up 60% from December lows.
# What they did
Bought a shitload of calls for $20.6M, sold some to offset for $4M. Net: **$16.6M** out the door betting KSS keeps ripping through January.
The volume was 5-22x normal levels. This isn't some boomer with a Kohl's credit card. This is institutional money.
# Here's where I'm confused
The bull case actually... exists?
**Sephora partnership is lowkey working:**
* [Beauty comps up 13%](https://wwd.com/business-news/retail/kohls-reports-q4-top-and-bottom-line-declines-sees-more-declines-ahead-1237040982/)
* [Targeting $2B in Sephora sales](https://www.supplychaindive.com/news/kohls-inventory-strategy-offset-tariffs-earnings/750013/)
* Bringing in [younger customers](https://www.homepagenews.com/featured-news/kohls-resets-for-growth-leveraging-partnerships-and-fresh-strategies-for-holiday-success/) who actually have money
**They just beat earnings by 80%:**
* [$0.56 vs $0.31 expected](https://investors.kohls.com/news/news-details/2025/Kohls-Reports-Second-Quarter-Fiscal-2025-Financial-Results/default.aspx)
* Stock ripped 34% after
**Holiday timing:**
* [Started Black Friday early](https://investors.kohls.com/news/news-details/2025/Shop-Early-Save-Big-Kohls-Black-Friday-Savings-Start-Now/default.aspx)
* January expiration = right after holiday numbers drop
* Someone knows something?
# But also...
* [12 straight quarters of declining sales](https://retailwire.com/kohls-27-stores-closed-fulfillment-center-shutdown/)
* CEO got [fired after 5 months](https://www.cnn.com/2025/05/01/business/kohls-ceo-change) for "conflicts of interest" (lol)
* [$2.28B in debt](https://www.sahmcapital.com/news/content/kohls-nysekss-has-a-somewhat-strained-balance-sheet-2024-12-26)
* Analysts say ["Sell" with $12.66 target](https://www.tipranks.com/stocks/kss/forecast) \- literally half the current price
# So WTF is going on?
My theories:
1. Someone has early holiday sales data (wouldn't be the first time)
2. Hedge fund that owns the bonds hedging their position
3. Turnaround thesis is actually real and analysts are late
4. Rich person gambling
# The trade
If you're curious - they're targeting $25-27 by mid-January. Currently at $23.36. So like 7-15% upside if they're right.
Options market is pricing in ±11% move by January, so this isn't even that crazy of a target.
# Honest question
Is there anyone here who actually shops at Kohl's in 2025? Like unironically?
I'm trying to figure out if this is a legit turnaround or if I'm watching someone light $16.6M on fire.
Also - would love to hear from anyone who's played retail turnarounds before. KSS, M, JWN - any of these actually work out or is it always a trap?
*no position. just fascinated that this is where someone chose to park $16.6M heading into the holidays*

Alright I need someone to explain this to me because I'm genuinely confused.
I track unusual options flow (it's a problem, I know) and this morning someone dropped a net **$16.6 MILLION** betting Kohl's goes UP. Not Tesla. Not NVIDIA. Fucking Kohl's.
Stock's at $23.36. Already up 60% from December lows.
# What they did
Bought a shitload of calls for $20.6M, sold some to offset for $4M. Net: **$16.6M** out the door betting KSS keeps ripping through January.
The volume was 5-22x normal levels. This isn't some boomer with a Kohl's credit card. This is institutional money.
# Here's where I'm confused
The bull case actually... exists?
**Sephora partnership is lowkey working:**
* [Beauty comps up 13%](https://wwd.com/business-news/retail/kohls-reports-q4-top-and-bottom-line-declines-sees-more-declines-ahead-1237040982/)
* [Targeting $2B in Sephora sales](https://www.supplychaindive.com/news/kohls-inventory-strategy-offset-tariffs-earnings/750013/)
* Bringing in [younger customers](https://www.homepagenews.com/featured-news/kohls-resets-for-growth-leveraging-partnerships-and-fresh-strategies-for-holiday-success/) who actually have money
**They just beat earnings by 80%:**
* [$0.56 vs $0.31 expected](https://investors.kohls.com/news/news-details/2025/Kohls-Reports-Second-Quarter-Fiscal-2025-Financial-Results/default.aspx)
* Stock ripped 34% after
**Holiday timing:**
* [Started Black Friday early](https://investors.kohls.com/news/news-details/2025/Shop-Early-Save-Big-Kohls-Black-Friday-Savings-Start-Now/default.aspx)
* January expiration = right after holiday numbers drop
* Someone knows something?
# But also...
* [12 straight quarters of declining sales](https://retailwire.com/kohls-27-stores-closed-fulfillment-center-shutdown/)
* CEO got [fired after 5 months](https://www.cnn.com/2025/05/01/business/kohls-ceo-change) for "conflicts of interest" (lol)
* [$2.28B in debt](https://www.sahmcapital.com/news/content/kohls-nysekss-has-a-somewhat-strained-balance-sheet-2024-12-26)
* Analysts say ["Sell" with $12.66 target](https://www.tipranks.com/stocks/kss/forecast) \- literally half the current price
# So WTF is going on?
My theories:
1. Someone has early holiday sales data (wouldn't be the first time)
2. Hedge fund that owns the bonds hedging their position
3. Turnaround thesis is actually real and analysts are late
4. Rich person gambling
# The trade
If you're curious - they're targeting $25-27 by mid-January. Currently at $23.36. So like 7-15% upside if they're right.
Options market is pricing in ±11% move by January, so this isn't even that crazy of a target.
# Honest question
Is there anyone here who actually shops at Kohl's in 2025? Like unironically?
I'm trying to figure out if this is a legit turnaround or if I'm watching someone light $16.6M on fire.
Also - would love to hear from anyone who's played retail turnarounds before. KSS, M, JWN - any of these actually work out or is it always a trap?
*no position. just fascinated that this is where someone chose to park $16.6M heading into the holidays*