Kohl's Corporation (KSS) saw its stock price plummet 5.09% in Friday's trading session, as investors continue to grapple with the aftermath of a recent leadership scandal. The significant drop reflects ongoing concerns about the company's stability and governance following the abrupt dismissal of its CEO earlier this year.

The decline can be largely attributed to the lingering effects of a major shakeup in Kohl's top management. On May 1, 2025, the company fired CEO Ashley Buchanan after an internal investigation revealed he had pushed for deals with a vendor with whom he had a personal relationship. This ethical breach occurred after Buchanan had been in the position for just over 100 days, raising questions about the company's vetting process and corporate governance practices.

This leadership turmoil at Kohl's comes amid a wave of executive changes sweeping through the retail sector. Many major consumer goods companies, including Walmart, Target, and Procter & Gamble, have announced leadership transitions in recent months as the industry faces challenges such as tariff pressures, economic uncertainty, and fluctuating consumer spending patterns. The instability at Kohl's, highlighted by Friday's stock plunge, underscores the critical importance of strong and ethical leadership in navigating these complex market conditions.