You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating indiv idual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Target (TGT) Outpaces Stock Market Gains: What You Should Know
Target (TGT - Free Report) closed the most recent trading day at $162.21, moving +1.95% from the previous trading session. This change outpaced the S&P 500's 1.89% gain on the day. At the same time, the Dow added 1%, and the tech-heavy Nasdaq gained 10%.
Heading into today, shares of the retailer had gained 12.56% over the past month, outpacing the Retail-Wholesale sector's gain of 5.52% and the S&P 500's gain of 2.3% in that time.
Investors will be hoping for strength from Target as it approaches its next earnings release. The company is expected to report EPS of $1.41, down 55.8% from the prior-year quarter. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $30.7 billion, down 0.95% from the year-ago period.
TGT's full-year Zacks Consensus Estimates are calling for earnings of $5.54 per share and revenue of $108.43 billion. These results would represent year-over-year changes of -59.14% and +2.29%, respectively.
Investors should also note any recent changes to analyst estimates for Target. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research shows that these estimate changes are directly correlated with near-term stock prices. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. Target is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Target is currently trading at a Forward P/E ratio of 28.73. This valuation marks a premium compared to its industry's average Forward P/E of 26.94.
We can also see that TGT currently has a PEG ratio of 2.91. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. TGT's industry had an average PEG ratio of 2.5 as of yesterday's close.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 88, putting it in the top 35% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Be sure to follow all of these stock-moving metrics, and many more, on Zacks.com.