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Pre-market futures today are once again greeted with an absence of economic reports ahead of the opening bell. We also have no updates on trade deals with global trade partners with the U.S., nor extraneous news items that might hold sway over early trading activity. We are thus left with some key U.S. retailers reporting Q1 earnings this morning.
As a result, we’re seeing futures down across the board this morning. The Dow is down -345 points, -0.81%, the S&P 500 is -38 points, -0.64%, the Nasdaq is -146, -0.68% and the small-cap Russell 2000 is -21 points, -1.02%. We’re beginning to see something resembling the top of the parabolic curve, with most major indexes flat over the past five trading days (the Dow is +1%, but giving up most of that in the pre-market). Over the past month, the indexes are up double-digits.
Q1 Earnings Ahead of Regular Trading
Target (TGT - Free Report) shares are tumbling an additional -6.5% this hour, following the release of its disappointing Q1 results ahead of today’s opening bell. Earnings of $1.30 per share missed the Zacks consensus $1.65 by -19.75%. The estimate was already -18% from the $2.03 per share reported in the year-ago quarter. Revenues of $23.85 billion were -1.58% short of expectations. The big-box retailer has also cut forecasts to negative growth from slightly positive earlier expected. (You can see the full Zacks Earnings Calendar here.)
The impact of tariffs are impacting guidance levels of retailers like Target. But the company has also been “targeted” with a boycott over its public rollback of DEI (Diversity, Equity and Inclusion) policy. This has led to some brand damage for Target, evident in its -41% share price drop over the past year. For more on TGT’s earnings, click here.
Home improvement retailer Lowe’s (LOW - Free Report) , on the other hand, beat expectations on both top and bottom lines. Earnings of $2.92 per share outperformed the Zacks consensus by 4 cents per share, with revenues of $20.93 billion marginally outpacing the $20.92 billion anticipated. Shares are up +1.75% in early trading, making up most of its -2% loss year to date. For more on LOW’s earnings, click here.
The TJX Companies (TJX - Free Report) , with a market capitalization greater than wither Target or Lowe’s, also modestly beat expectations this morning on both earnings and sales. The parent of TJ Maxx, Marshall’s and HomeGoods reported a 2-cent beat to 92 cents per share in Q1, on revenues of $13.11 billion which improved over the $13.0 billion anticipated. Comps grew +3% year over year, although forward guidance is down slightly. TJX shares are down a tad at this hour.
VF Corp. (VFC - Free Report) , the parent of Timberland, Vans, North Face and other apparel brands, posted mixed results for its fiscal Q4 this morning. The company reported a narrower-than-expected loss of -13 cents per share versus -15 cents estimated, but revenues of $2.14 billion were short of the $2.18 billion in the Zacks consensus. This is the fourth-straight bottom-line beat for VFC, but shares are tumbling -14% on a “challenging macro environment.”
What to Expect from the Stock Market Today
After the closing bell today, the cavalcade of retail earnings reports continues, with Zacks Rank #4 (Sell)-rated Urban Outfitters (URBN - Free Report) looking for solid growth on both top and bottom lines year over year. We’ll also hear from Montana-based data storage firm Snowflake (SNOW - Free Report) and videoconferencing company Zoom Communications (ZM - Free Report) for their quarterly results.
Image: Bigstock
Q1 Retailers Report Earnings: TGT Misses, LOW & TJX Beat
Wednesday, May 21, 2025
Pre-market futures today are once again greeted with an absence of economic reports ahead of the opening bell. We also have no updates on trade deals with global trade partners with the U.S., nor extraneous news items that might hold sway over early trading activity. We are thus left with some key U.S. retailers reporting Q1 earnings this morning.
As a result, we’re seeing futures down across the board this morning. The Dow is down -345 points, -0.81%, the S&P 500 is -38 points, -0.64%, the Nasdaq is -146, -0.68% and the small-cap Russell 2000 is -21 points, -1.02%. We’re beginning to see something resembling the top of the parabolic curve, with most major indexes flat over the past five trading days (the Dow is +1%, but giving up most of that in the pre-market). Over the past month, the indexes are up double-digits.
Q1 Earnings Ahead of Regular Trading
Target (TGT - Free Report) shares are tumbling an additional -6.5% this hour, following the release of its disappointing Q1 results ahead of today’s opening bell. Earnings of $1.30 per share missed the Zacks consensus $1.65 by -19.75%. The estimate was already -18% from the $2.03 per share reported in the year-ago quarter. Revenues of $23.85 billion were -1.58% short of expectations. The big-box retailer has also cut forecasts to negative growth from slightly positive earlier expected. (You can see the full Zacks Earnings Calendar here.)
The impact of tariffs are impacting guidance levels of retailers like Target. But the company has also been “targeted” with a boycott over its public rollback of DEI (Diversity, Equity and Inclusion) policy. This has led to some brand damage for Target, evident in its -41% share price drop over the past year. For more on TGT’s earnings, click here.
Home improvement retailer Lowe’s (LOW - Free Report) , on the other hand, beat expectations on both top and bottom lines. Earnings of $2.92 per share outperformed the Zacks consensus by 4 cents per share, with revenues of $20.93 billion marginally outpacing the $20.92 billion anticipated. Shares are up +1.75% in early trading, making up most of its -2% loss year to date. For more on LOW’s earnings, click here.
The TJX Companies (TJX - Free Report) , with a market capitalization greater than wither Target or Lowe’s, also modestly beat expectations this morning on both earnings and sales. The parent of TJ Maxx, Marshall’s and HomeGoods reported a 2-cent beat to 92 cents per share in Q1, on revenues of $13.11 billion which improved over the $13.0 billion anticipated. Comps grew +3% year over year, although forward guidance is down slightly. TJX shares are down a tad at this hour.
VF Corp. (VFC - Free Report) , the parent of Timberland, Vans, North Face and other apparel brands, posted mixed results for its fiscal Q4 this morning. The company reported a narrower-than-expected loss of -13 cents per share versus -15 cents estimated, but revenues of $2.14 billion were short of the $2.18 billion in the Zacks consensus. This is the fourth-straight bottom-line beat for VFC, but shares are tumbling -14% on a “challenging macro environment.”
What to Expect from the Stock Market Today
After the closing bell today, the cavalcade of retail earnings reports continues, with Zacks Rank #4 (Sell)-rated Urban Outfitters (URBN - Free Report) looking for solid growth on both top and bottom lines year over year. We’ll also hear from Montana-based data storage firm Snowflake (SNOW - Free Report) and videoconferencing company Zoom Communications (ZM - Free Report) for their quarterly results.
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