Kohl’s (NYSE: KSS) stock has rebounded from its April lows, but volatility remains high due to elevated short interest of about 32% of the float. Institutional buyers are supporting the stock, with a $2-to-$1 buying ratio compared to sellers in Q2 and Q3. Analysts have revised their forecasts positively, boosting sentiment and the stock’s target price.

Although Kohl’s revenue fell 5.1% YOY, the company saw improved earnings quality due to reduced inventory and increased efficiencies. The dividend yield is 3.3% and the payout ratio is healthy at 55%. Balance sheet health is strong, with reduced debt and leverage. The upcoming Q3 earnings release is expected to show improved revenue and earnings, potentially leading to a return to growth by the end of the fiscal year.

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Read more at Nasdaq: Kohl’s Stock Rebound Faces a Showdown With Short Sellers