Baird downgraded Kohl's (NYSE:KSS) to "neutral" from "outperform" after the company's weak third quarter and noted the ongoing pressure in its core apparel and footwear business, among notable challenges.

Kohl's reported disappointing Q3 earnings as sales in key segments lagged expectations, prompting a downward revision of its full-year outlook.

Kohl's (KSS) announced that CEO Tom Kingsbury will be stepping down from the role effective January 15, 2025. Michaels Companies CEO Ashley Buchanan has been named his replacement. In the release, Kohl's says Kingsbury will serve in an advisory role and stay on the company's board through his retirement in May 2025.

Kohl's Corporation KSS shares tumbled as much as 18.5% in the pre-marketing session as the company posted dismal third-quarter fiscal 2024 results and lowered its full-year outlook. The company’s top and bottom lines decreased year over year and missed the Zacks Consensus Estimate.