Kohl's Corp (KSS) reported Thursday that its first-quarter earnings increased 45% as a result of an 11% jump in revenue. Kohl's earned 64 cents per share during the quarter, far outpacing last year's same-quarter earnings of 45 cents per share and topping the consensus estimate of 61 cents per share. Revenue increased to $4.04 billion from $3.64 billion a year ago.

Despite the results, shares fell 2% ahead of the bell as the company's forecast disappointed investors. KSS issued a second-quarter forecast for earnings between 70 and 75 cents per share, which is well short of the expected earnings of 88 cents per share. For the full fiscal year, KSS forecast a range of $3.57 to $3.75 per share -- a range that also fell short of the consensus estimate of $3.77 per share.

U.S. stock futures were mixed Thursday, pointing to a somewhat flat to lower open as European debt concerned lingered and the tech sector was in focus after Cisco earnings and the SAP/Sybase deal. Meanwhile, reports about a widening investigation into Wall Street banks added to jitters as investors awaited jobless claims.

World stock markets advanced Thursday. In Asia, Japan's benchmark Nikkei 225 and Shanghai's index both jumped over 2% on improved sentiment and prediction China's government cooling measures won't affect the financial system. In Europe, worries of a wave of debt defaults continued to ease in the wake of the massive $1 trillion aid package from the European Union. The euro, however, which soared after the EU announced the rescue package, is back to levels it was before the announcement.

Macy's Inc. (M) is trading higher today. With a little less than two hours to go before the close of the regular session, the retailer, whose competitors include The Gap Inc. (GPS) and Kohl's Corporation (KSS), was higher by 63 cents, or 2.6%, to $24.53. Volume was healthy.

The stock isn't far from the 52-week high of $25.25. The 52-week low is $10.27, so the equity has come a long way since it was stuck in the doldrums. The one-year chart shows a reasonably attractive uptrend. Earlier today, the company reported its Q1 numbers. How did they look?

Last week's retail sales numbers were encouraging. And some shopping mall favorites take their turns in the earnings spotlight this week: JCPenney (JCP), Nordstrom (JWN), Urban Outfitters (URBN), Kohl's Corp. (KSS) and Macy's (M). Overall, analysts surveyed by Thomson Reuters expect to see earnings growth from these retailers for the first quarter.

Texas-based department store operator JCPenney declared a quarterly dividend and tendered a debt offering in its first quarter. Earnings for that period are expected to have more than doubled from a year ago to $0.24 per share. Revenue for the three months that ended in April, however, is expected to have inched up 1.4% in the past year to $3.9 billion. And analysts expect to see year-over-year earnings and revenue growth in the second quarter. JCPenney's per-share earnings have come in within pennies of consensus estimates in the past five quarters, beating by two cents in the fourth quarter.

As forecast in January, the pull-back of retailer Kohl's Corp (KSS), first discussed here on April 28, 2009 at a price of $43.82, proved to be a correction, and the stock has rebounded nicely since.

Look for Kohl's fiscal 2011 revenue to increase 5-7%, aided by up to 30 new stores. Same store sales should increase 2-3%.

Simply, Kohl's has the right business model at the right time. Kohl's is a moderate-price retailer that held its own during the recession, and will now benefit from increased spending per customer, as Americans become more-confident as the economic expansion gains steam.

Target (TGT) ended yesterday's trading session over 3% higher from where it began. That may not sound like the greatest increase ever, sure, but consider that the stock hit a new 52-week high ($56.44) during the intraday session, and that the volume backing the bid was well above the norm; now, what do you say?

I say it makes the business an interesting investment idea. The strength of the price action was backed by a positive change in some of the fundamentals. According to MarketWatch, the chain's same-store sales increase of 10.3% in March beat analysts' projections of 7.8%. Also, management's outlook for a Q1 profit of 84 cents per share was 9 cents higher than current estimates.

The TJX Companies (TJX), a retailer that competes with Kohl's (KSS) and Target (TGT), made its shareholders happy yesterday by announcing a dividend increase. The new quarterly payment was expanded by 25% to 15 cents per share.

Not only was that event pretty cool, but so was the price action of the stock. Shares of the company hit a new 52-week high of $44.95 during Tuesday's intraday session. At the end of regular trading activities, the stock settled to a nice $44.70. Volume was healthy, as well.

Dress Barn (DBRN), an apparel retailer that counts Kohl's (KSS) as a related company, posted second-quarter stats yesterday after the bell. Today, shares are trading higher thanks to the good news implied within the figures.

The first thing to know is that you can basically disregard the 73% increase in total sales. Remember that this was the result of an acquisition, which I mentioned back in September. The same-store revenue metric really comes into play with this report: it went up a very appealing 10%. On an adjusted basis, the business made 37 cents per share. What a difference a year makes, because in the comparable frame, 3 cents per share was actually lost.

Here are some highlights from this past week's earnings coverage on BloggingStocks:

• American International Group Inc. (AIG) posted a big loss and warned it may require additional assistance.
• Athenahealth (ATHN) shares sank after it delayed earnings and its annual report, and warned of restatements.
• Barnes & Noble Inc. (BKS) Q3 sales jumped on popularity of the Nook reader but same-store sales declined.
• Brocade Communications Systems Inc. (BRCD) disappointing report and guidance caused a sell-off in shares.
• Dell Inc. (DELL) acquisitions and better-than-expected earnings may not be enough to stop shrinking market share.
• Gap Inc. (GPS) rose after it beat earnings estimates, raised its dividend and announced stock buybacks.

Kohl's (KSS), which competes with Target (TGT) and Wal-Mart (WMT), posted a great fourth quarter on Thursday. The results show that the retailer is on solid footing in a very competitive landscape.

Earnings per share grew way over 20% to $1.40. According to our preview piece, that was three pennies higher than expectations. Granted, three pennies extra on income of $1.40 might not be that big a beat in percentage terms, but taking into account the high double-digit growth, I'd say the performance was still impressive. And if you want full confirmation of a job well done, same-store sales, the essential key to a chain's future prosperity, jumped 4.5%.

Kohl's (KSS - option chain) shares are pretty much flat so far today ahead of the company's fourth quarter earnings report, which is scheduled for tomorrow morning before the market opens. Analysts are forecasting earnings of $1.37 per share, versus $1.10 during the same period last year. Kohl's has beaten estimates for 19 consecutive quarters and if that streak continues tomorrow, traders will probably be pleased. If you think that the stock won't fall by too much in the coming months, then now could be a good time to look at a bullish hedged trade on KSS.

KSS opened this morning at $51.15. So far today the stock has hit a low of $50.50 and a high of $51.25. As of 12:45, KSS is trading at $51.06 up 13 cents (0.3%). The chart for KSS looks bullish and S&P gives KSS a positive 4 STARS (out of 5) buy ranking.

Retailer Kohl's Corp's (KSS) stock has dipped in the past two months, and typically that would be a concern with a retailer, but not this solid retail sector performer, which is a major reason I'm reiterating my buy rating for the company's shares, first recommended on April 26, 2009, at a price of $43.862.

Simply, Kohl's has the right business model at the right time. Kohl's is a moderate-price retailer that's held its own amid the recession, and will now benefit from a wider customer spectrum as the economic expansion continues.

Retailers appear to have been rescued at the last minute, according to data from the International Council of Shopping Centers. Shoppers looking for deals the week before Christmas -- and making up for the day lost to stormy weather on the East Coast -- spent aggressively, sparing the retail sector a dismal 2008-like performance.

The healthy conclusion to the holiday season led to a positive change from November and made December one of only three months (including September and October) in which retail sales increased year-over-year.

Analyst Upgrades

• Goldman upgraded 3M Company (MMM) to conviction buy from buy, citing positive global industrial data, underappreciated organic growth and earnings momentum, among other reasons. The firm raised its target to $105 from $100.
• Citigroup upgraded Manpower (MAN) to buy from hold to reflect improvements in the temporary employment sector. The firm raised its target price on shares to $69 from $61.
• Baird upgraded Cerner (CERN) to outperform from neutral and raised its target to $104 from $89 based on Q4 bookings momentum, positive newsflow and reasonable valuation.
• Dow Chemical (DOW) was upgraded to overweight from equal weight at Barclays.
• Magna International (MGA) was upgraded to outperform from market perform at Wells Fargo.

This week, the world's top retailers will tell investors how the much-discussed holiday season went. Analysts expect a year-over-year gain of 1.3% for stores open at least a year, which of course uses a dismal 2008 as a benchmark.

The holiday shopping season is the last chance retailers get to pump up their financial statements before the close of their fiscal year, which usually comes at the end of January. For some retailers, up to 40% of their revenue comes in the weeks heading into Christmas.