Target (NYSE:TGT) Shares Gap Down After Earnings Miss

Target Co. (NYSE:TGT - Get Free Report)'s share price gapped down before the market opened on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $98.12, but opened at $91.50. Target shares last traded at $92.27, with a volume of 6,612,732 shares.

The retailer reported $1.30 EPS for the quarter, missing the consensus estimate of $1.65 by ($0.35). Target had a return on equity of 31.11% and a net margin of 4.06%. The business's revenue was down 2.8% compared to the same quarter last year. During the same period in the prior year, the company earned $2.03 earnings per share.

Target Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Sunday, June 1st. Shareholders of record on Wednesday, May 14th will be given a $1.12 dividend. This represents a $4.48 annualized dividend and a yield of 4.85%. The ex-dividend date of this dividend is Wednesday, May 14th. Target's dividend payout ratio is currently 50.56%.

Analyst Upgrades and Downgrades

Several brokerages have commented on TGT. Robert W. Baird downgraded Target from an "outperform" rating to a "neutral" rating and set a $110.00 price target on the stock. in a research report on Monday, April 7th. The Goldman Sachs Group lowered Target from a "buy" rating to a "neutral" rating and decreased their price objective for the stock from $142.00 to $101.00 in a report on Wednesday, April 16th. Baird R W lowered Target from a "strong-buy" rating to a "hold" rating in a report on Monday, April 7th. Oppenheimer decreased their price target on Target from $165.00 to $150.00 and set an "outperform" rating on the stock in a research note on Thursday, March 6th. Finally, Piper Sandler decreased their price target on Target from $124.00 to $105.00 and set a "neutral" rating on the stock in a research note on Tuesday, May 13th. Two research analysts have rated the stock with a sell rating, twenty-three have issued a hold rating and eleven have issued a buy rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Hold" and an average price target of $127.29.

Hedge Funds Weigh In On Target

A number of hedge funds have recently added to or reduced their stakes in TGT. Ritholtz Wealth Management increased its stake in Target by 14.0% during the 4th quarter. Ritholtz Wealth Management now owns 4,605 shares of the retailer's stock worth $622,000 after acquiring an additional 565 shares during the period. Grove Bank & Trust boosted its holdings in shares of Target by 23.1% in the 4th quarter. Grove Bank & Trust now owns 747 shares of the retailer's stock valued at $101,000 after purchasing an additional 140 shares in the last quarter. Koshinski Asset Management Inc. boosted its holdings in shares of Target by 16.9% in the 4th quarter. Koshinski Asset Management Inc. now owns 7,487 shares of the retailer's stock valued at $1,012,000 after purchasing an additional 1,083 shares in the last quarter. CMH Wealth Management LLC boosted its holdings in shares of Target by 2.0% in the 4th quarter. CMH Wealth Management LLC now owns 46,701 shares of the retailer's stock valued at $6,313,000 after purchasing an additional 916 shares in the last quarter. Finally, Martel Wealth Advisors Inc acquired a new stake in shares of Target during the 4th quarter valued at $406,000. Institutional investors own 79.73% of the company's stock.

Target Price Performance

The stock has a market capitalization of $41.96 billion, a price-to-earnings ratio of 9.75, a P/E/G ratio of 1.94 and a beta of 1.27. The company has a fifty day simple moving average of $97.93 and a 200 day simple moving average of $121.12. The company has a debt-to-equity ratio of 0.99, a quick ratio of 0.25 and a current ratio of 0.94.

Target Company Profile

Target Corporation operates as a general merchandise retailer in the United States. The company offers apparel for women, men, boys, girls, toddlers, and infants and newborns, as well as jewelry, accessories, and shoes; and beauty and personal care, baby gear, cleaning, paper products, and pet supplies.

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