Target (TGT - Free Report) closed at $79.31 in the latest trading session, marking a -0.19% move from the prior day. This change lagged the S&P 500's daily gain of 0.22%. Meanwhile, the Dow gained 0.15%, and the Nasdaq, a tech-heavy index, added 0.6%.
Heading into today, shares of the retailer had gained 4.55% over the past month, outpacing the Retail-Wholesale sector's gain of 2.13% and the S&P 500's gain of 2.39% in that time.
Investors will be hoping for strength from TGT as it approaches its next earnings release. In that report, analysts expect TGT to post earnings of $1.43 per share. This would mark year-over-year growth of 8.33%. Meanwhile, our latest consensus estimate is calling for revenue of $17.54 billion, up 4.52% from the prior-year quarter.
Looking at the full year, our Zacks Consensus Estimates suggest analysts are expecting earnings of $5.79 per share and revenue of $77.91 billion. These totals would mark changes of +7.42% and +3.4%, respectively, from last year.
Any recent changes to analyst estimates for TGT should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. 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.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Within the past 30 days, our consensus EPS projection has moved 3.91% higher. TGT currently has a Zacks Rank of #2 (Buy).
Digging into valuation, TGT currently has a Forward P/E ratio of 13.72. This represents a discount compared to its industry's average Forward P/E of 20.36.
It is also worth noting that TGT currently has a PEG ratio of 2.18. 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. Retail - Discount Stores stocks are, on average, holding a PEG ratio of 1.94 based on yesterday's closing prices.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 104, putting it in the top 41% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our 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.