Watch now as Retail analyst Brian McGough and Hedgeye CEO Keith McCullough analyze Simon Property Group (the group that bought JC Penney) stepping up to buy Kohl’s (KSS) at $68/share.
“Kohls is a completely different story. Kohl’s operates in strip malls and there are 10,000 strip malls out there. There are so many and the real estate is a dime a dozen. It’s not worth anything and I don’t see why this makes any sense,” explains McGough. “The board thinks that this stock is worth $80-$90 dollars and bids are coming in the $60’s.
“It’s a frustrating short because I’ve got to deal with a different news story every day and it’s a pain in the ass, but the fact of the matter is that this is a company that is fundamentally overearning.”
Watch the full clip above.
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