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Target (TGT) Rises Higher Than Market: Key Facts

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In the latest close session, Target (TGT - Free Report) was up +2.16% at $106.26. The stock outperformed the S&P 500, which registered a daily gain of 1.14%. Elsewhere, the Dow gained 1.1%, while the tech-heavy Nasdaq added 1.39%.

Heading into today, shares of the retailer had lost 0.82% over the past month, lagging the Retail-Wholesale sector's gain of 1.54% and the S&P 500's gain of 2%.

The investment community will be closely monitoring the performance of Target in its forthcoming earnings report. The company is scheduled to release its earnings on August 20, 2025. The company's upcoming EPS is projected at $2.08, signifying a 19.07% drop compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $24.88 billion, indicating a 2.26% decline compared to the corresponding quarter of the prior year.

Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $7.52 per share and revenue of $104.66 billion. These totals would mark changes of -15.12% and -1.79%, respectively, from last year.

Investors should also pay attention to any latest changes in analyst estimates for Target. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Hence, positive alterations in estimates signify analyst optimism regarding the business and profitability.

Our research shows that these estimate changes are directly correlated with near-term stock prices. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.

The Zacks Rank system, running from #1 (Strong Buy) to #5 (Strong Sell), holds an admirable track record of superior performance, independently audited, with #1 stocks contributing an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.43% decrease. Target presently features a Zacks Rank of #4 (Sell).

In the context of valuation, Target is at present trading with a Forward P/E ratio of 13.83. This denotes a discount relative to the industry average Forward P/E of 23.03.

Also, we should mention that TGT has a PEG ratio of 2.99. Comparable to the widely accepted P/E ratio, the PEG ratio also accounts for the company's projected earnings growth. The Retail - Discount Stores industry currently had an average PEG ratio of 2.81 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 184, putting it in the bottom 26% of all 250+ industries.

The Zacks Industry Rank assesses the vigor of our specific industry groups by computing the average Zacks Rank of the individual stocks incorporated in the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

To follow TGT in the coming trading sessions, be sure to utilize Zacks.com.


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