Target (NYSE:TGT) Announces Earnings Results

Key Points

• Target beat quarterly expectations, reporting EPS of $4.11 versus the $2.35 consensus and revenue of $26.54 billion versus estimates of $26.13 billion.
• The company raised its fiscal 2026 outlook to adjusted EPS of $9.90–$10.90 and expects approximately $110 billion in revenue, though about $1 billion of quarterly profit came from potentially nonrecurring tariff refunds.
• Target increased its quarterly dividend to $1.16 per share, up from $1.14, for a 3.0% yield; Wall Street’s consensus rating remains “Hold” with a $143.85 price target.

Target (NYSE:TGT - Get Free Report) issued its quarterly earnings data on Wednesday. The retailer reported $4.11 EPS for the quarter, topping analysts' consensus estimates of $2.35 by $1.76, FiscalAI reports. The firm had revenue of $26.54 billion for the quarter, compared to analyst estimates of $26.13 billion. Target had a net margin of 3.24% and a return on equity of 22.92%. Target updated its FY 2026 guidance to 9.900-10.900 EPS.

Target Trading Up 1.1%

Shares of TGT stock opened at $152.63 on Wednesday. The firm's fifty day simple moving average is $139.08 and its 200 day simple moving average is $126.98. The firm has a market capitalization of $69.32 billion, a P/E ratio of 20.16, a price-to-earnings-growth ratio of 2.51 and a beta of 0.96. The company has a current ratio of 0.93, a quick ratio of 0.30 and a debt-to-equity ratio of 0.87. Target has a 1 year low of $83.44 and a 1 year high of $156.47.

Target Increases Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 1st. Stockholders of record on Wednesday, August 12th will be given a $1.16 dividend. This is a positive change from Target's previous quarterly dividend of $1.14. This represents a $4.64 annualized dividend and a dividend yield of 3.0%. The ex-dividend date of this dividend is Wednesday, August 12th. Target's dividend payout ratio (DPR) is currently 61.29%.

Wall Street Analyst Weigh In

A number of equities analysts have issued reports on the stock. Bank of America reissued an "underperform" rating and issued a $124.00 target price (up from $110.00) on shares of Target in a report on Wednesday, August 12th. Wells Fargo & Company raised their target price on Target from $140.00 to $165.00 and gave the stock an "overweight" rating in a research report on Thursday, July 30th. DA Davidson boosted their price target on shares of Target from $155.00 to $170.00 and gave the company a "buy" rating in a report on Monday. JPMorgan Chase & Co. boosted their price target on Target from $129.00 to $157.00 and gave the company a "neutral" rating in a research note on Friday, August 7th. Finally, Zacks Research upgraded shares of Target from a "hold" rating to a "strong-buy" rating in a research note on Monday, July 13th. One equities research analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating, sixteen have given a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $143.85.

Insider Buying and Selling

In other Target news, insider Cara A. Sylvester sold 10,000 shares of the firm's stock in a transaction that occurred on Friday, May 29th. The stock was sold at an average price of $125.89, for a total value of $1,258,900.00. Following the completion of the sale, the insider owned 45,930 shares in the company, valued at approximately $5,782,127.70. This trade represents a 17.88% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. 0.13% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On Target

A number of institutional investors have recently bought and sold shares of the business. Jessup Wealth Management Inc bought a new position in shares of Target during the 4th quarter worth about $25,000. WFA of San Diego LLC acquired a new position in Target in the second quarter worth about $25,000. Altshuler Shaham Ltd bought a new position in Target during the fourth quarter worth about $26,000. Garton & Associates Financial Advisors LLC acquired a new stake in Target during the fourth quarter valued at approximately $36,000. Finally, Darwin Wealth Management LLC acquired a new stake in Target during the second quarter valued at approximately $37,000. Institutional investors and hedge funds own 79.73% of the company's stock.

Target News Summary

Here are the key news stories impacting Target this week:

• Positive Sentiment: Target raised its fiscal 2026 guidance, now forecasting adjusted earnings per share of $9.90–$10.90 versus the $7.72 analyst consensus. The company also expects approximately $110 billion in revenue, above the roughly $106.4 billion consensus estimate. Target Raises Fiscal-Year Forecast Again as Turnaround Gains Traction With Consumers
• Positive Sentiment: Second-quarter net sales increased 5.3% year over year, while comparable sales rose 3.8%, supported by a 3.6% increase in traffic. The two-year comparable sales growth rate also accelerated, indicating improving consumer engagement. Target Corporation Reports Second Quarter Earnings
• Positive Sentiment: Management raised its annual sales-growth forecast to about 5%, reinforcing the view that pricing initiatives and merchandising improvements are producing results. Target lifts annual forecasts again as Fiddelke's turnaround takes root
• Positive Sentiment: DA Davidson raised its price target on TGT to $170 from $155 and maintained a “buy” rating, citing potential for further appreciation. Target analyst forecast changes
• Neutral Sentiment: Target’s stock had already rallied substantially this year, leaving investors focused on whether improved sales momentum can persist and justify the higher valuation. Target is set to report earnings before the bell
• Negative Sentiment: Quarterly profit received an approximately $1 billion boost from tariff refunds. Because this benefit may not recur, investors may view the underlying earnings improvement as less powerful than the headline guidance suggests. Target lifts annual forecasts again as Fiddelke's turnaround takes root

About Target

Target Corporation NYSE: TGT is a U.S.-based general merchandise retailer headquartered in Minneapolis, Minnesota. The company operates a network of full-line and small-format stores across the United States alongside a national e-commerce platform and mobile app. Target’s retail assortment spans apparel, home goods, electronics, groceries and household essentials, plus beauty, baby and pet categories. The firm complements national brands with a portfolio of owned and exclusive labels and partnerships that help differentiate its merchandise assortment.

Target traces its roots to the Dayton Company, founded by George Dayton in 1902; the Target discount chain was launched in 1962 and the parent company later adopted the Target Corporation name.

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