Kohl’s solid quarter makes the stock look attractive

Kohl’s (KSS) is weathering the decline in consumer spending with remarkable ease. The mid-price department store chain last week reported a 21% increase in third-quarter net profit thanks to strong sales. As usual this earnings season, cost cuts helped boost profits, but the retailer also benefited from the expansion of upscale brands.

Kohl’s has a long history of getting its value-to-style proposition right, which bodes well for the stock as frugal consumers become more cautious about spending their discretionary dollars. Indeed, the company appears to be eating some of its competitors’ lunches.