Back to top

Image: Bigstock

Target (TGT) Reports Q3 Earnings: What Key Metrics Have to Say

Read MoreHide Full Article

Target (TGT - Free Report) reported $25.4 billion in revenue for the quarter ended October 2023, representing a year-over-year decline of 4.2%. EPS of $2.10 for the same period compares to $1.54 a year ago.

The reported revenue represents a surprise of +0.62% over the Zacks Consensus Estimate of $25.24 billion. With the consensus EPS estimate being $1.48, the EPS surprise was +41.89%.

While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- and how they compare to Wall Street expectations to determine their next course of action, some key metrics always provide a better insight into a company's underlying performance.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Target performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Comparable store sales - YoY change: -4.9% versus the 12-analyst average estimate of -4.9%.
  • Number of stores - Total: 1,956 versus 1,960 estimated by six analysts on average.
  • Digitally Originated Comparable Sales Change: -6% versus the four-analyst average estimate of -5.6%.
  • Stores Originated Comparable Sales Change: -4.6% versus the four-analyst average estimate of -4.4%.
  • Retail Square Feet - Total: 245.91 Msq ft versus 246 Msq ft estimated by four analysts on average.
  • Retail Square Feet - 50,000 to 169,999 sq. ft: 192.88 Msq ft versus the three-analyst average estimate of 192.32 Msq ft.
  • Retail Square Feet - 170,000 or more sq. ft: 48.82 Msq ft compared to the 49.1 Msq ft average estimate based on three analysts.
  • Number of stores - 49,999 or less sq. ft: 141 versus 152 estimated by three analysts on average.
  • Number of stores - 50,000 to 169,999 sq. ft: 1,542 versus 1,534 estimated by three analysts on average.
  • Number of stores - 170,000 or more sq. ft: 273 compared to the 275 average estimate based on three analysts.
  • Total Revenue- Sales: $25 billion versus the nine-analyst average estimate of $24.80 billion. The reported number represents a year-over-year change of -4.3%.
  • Total Revenue- Other revenue: $394 million versus $404.44 million estimated by nine analysts on average. Compared to the year-ago quarter, this number represents a -0.5% change.
View all Key Company Metrics for Target here>>>

Shares of Target have returned -1.6% over the past month versus the Zacks S&P 500 composite's +4% change. The stock currently has a Zacks Rank #4 (Sell), indicating that it could underperform the broader market in the near term.

See More Zacks Research for These Tickers


Normally $25 each - click below to receive one report FREE:


Target Corporation (TGT) - free report >>

Published in