Target Corporation's Stock Analysis

Target Reports Second Quarter Earnings and CEO Appointment

Target Corporation reported second quarter net sales of $25.2 billion, a 0.9% decrease from the previous year, although this marked an improvement compared to the first quarter. The company experienced growth in digital sales, which increased by 4.3%, driven by a significant rise in same-day delivery services. Adjusted earnings per share (EPS) was $2.05, down from $2.57 in the same quarter last year, reflecting effective cost management amidst ongoing challenges such as tariff pressures. The company maintained its fiscal 2025 guidance, anticipating a low-single digit decline in sales.

The Board of Directors appointed Michael Fiddelke as the new CEO, succeeding Brian Cornell. The company reported a second quarter operating income of $1.3 billion, a 19.4% decline from the previous year, with an operating income margin of 5.2%. Target's gross margin was 29.0%, down from 30.0% year-over-year, impacted by markdown rates and other costs. The company declared dividends of $509 million, maintaining the same amount as last year, and had approximately $8.4 billion remaining under its stock repurchase program.

Aug 20, 2025 06:45:14

Target Appoints New CEO Amid Leadership Transition

Target Corporation has appointed Michael J. Fiddelke as the new Chief Executive Officer, effective February 1, 2026. Fiddelke, who has been with Target since 2004 and currently serves as Executive Vice President and Chief Operating Officer, will succeed Brian C. Cornell, who will remain with the company as Executive Chair of the Board.

The company has indicated that the details regarding the compensation arrangements for both Fiddelke and Cornell will be disclosed once finalized. This leadership change follows a comprehensive succession planning process by the Board of Directors.

Aug 20, 2025 06:42:55

Target Corporation Reports First Quarter Earnings Results

Target Corporation announced its first quarter 2025 financial results, reporting net sales of $23.8 billion, a decrease from $24.5 billion in the same quarter last year. The company experienced a 3.8 percent decline in comparable sales, although digital sales grew by 4.7 percent, driven by a significant increase in same-day delivery options. The first quarter GAAP earnings per share (EPS) was $2.27, up from $2.03 in 2024, while the adjusted EPS, excluding litigation gains, was $1.30, reflecting a notable decrease from the previous year.

The company also established a multi-year acceleration office aimed at enhancing decision-making and execution of strategic initiatives. Target's operating income for the quarter was reported at $1.5 billion, with an operating income margin rate of 6.2 percent, including litigation settlement gains. The company anticipates a low-single digit decline in sales for fiscal 2025, with GAAP EPS expected to range between $8.00 and $10.00, and adjusted EPS projected at approximately $7.00 to $9.00.

May 21, 2025 07:02:28

Target Corporation Reports Declines in Sales and Earnings Metrics

Target Corporation reported a 0.8 percent decline in full-year net sales for 2024, along with a 0.9 percent decrease in both GAAP and adjusted earnings per share (EPS). However, when adjusted for the impact of an extra week in 2023, net sales showed a slight increase of approximately 1 percent, and earnings per share were nearly 3 percent higher compared to the previous year. The fourth quarter saw a 1.5 percent growth in comparable sales, driven by increased traffic and digital performance, particularly in categories like beauty and apparel.

On the negative side, fourth-quarter net sales were down 3.1 percent compared to the same period in 2023, attributed to the absence of the additional sales week. Operating income also fell by 21.3 percent year-over-year, and the gross margin rate decreased slightly from 26.6 percent to 26.2 percent, impacted by higher fulfillment and supply chain costs. Additionally, the company experienced an increase in selling, general, and administrative expenses as a percentage of sales, indicating rising operational costs.

Mar 04, 2025 06:49:38

Target Reports Q3 Earnings with $1.85 EPS Decline

Target Corporation reported a 0.3% increase in comparable sales for the third quarter, attributed to a 2.4% rise in guest traffic and a notable 10.8% growth in digital sales. The company also highlighted growth in beauty and essentials categories, alongside a total revenue of $25.7 billion, which was up 1.1% year-over-year. Additionally, the company saw an increase in its after-tax return on invested capital, rising to 15.9% from 13.9% in the previous year, indicating improved capital efficiency.

On the downside, Target's third quarter earnings per share (EPS) decreased by 11.9% to $1.85 compared to $2.10 in the same period last year, reflecting challenges and cost pressures that affected profitability. The gross margin rate also declined by 0.2 percentage points to 27.2%, largely due to higher costs associated with digital fulfillment and inventory management. Furthermore, operating income fell 11.2% to $1.2 billion, signaling ongoing pressures on the bottom line.

Nov 20, 2024 07:02:25

Target Corporation's Strong Second Quarter Earnings Report

Target Corporation reported a positive second quarter with comparable sales rising by 2.0%, exceeding expectations. The company saw a 3% increase in store traffic and an impressive 8.7% growth in digital sales. Notably, operating income margin improved to 6.4%, and earnings per share surged over 40% year-on-year, indicating strong profit performance. The growth was largely attributed to increased customer traffic and a notable rise in discretionary sales, particularly in apparel and beauty categories.

Despite the overall positive results, the company maintained a cautious outlook for the upcoming quarters, projecting a modest increase in comparable sales of 0 to 2%. Additionally, while operating expenses rose slightly, the company managed to keep them in check through disciplined cost management. The guidance for earnings per share was adjusted upward, reflecting stronger profit performance earlier in the year. Overall, Target's financial health appears solid, with significant capital deployment and a focus on maintaining momentum.

Aug 21, 2024 07:30:22

Target Corporation Q1 2024 Earnings Report Highlights

Target Corporation reports stable first quarter earnings with improved gross margin rate and digital sales growth. Despite a decline in comparable sales, the company saw positive trends in same-day services and the relaunched loyalty program. Inventory decreased, and the company aims for growth in the second quarter. Target expects a 0-2% increase in comparable sales for both the second quarter and full year, with a focus on efficiency and customer experience. Capital deployment includes increased dividends, while stock repurchase remains unutilized.

May 22, 2024 07:03:19

Target Corporation Q4 2023 Earnings Report

Target Corporation's Q4 2023 earnings show a significant increase in EPS, improved sales, and efficiency efforts leading to higher profitability. Operating income margin and cash from operations doubled. Despite a 4.4% decline in total comparable sales, the company expects a modest increase for the full year 2024. The gross margin rate improved, reflecting lower costs. However, SG&A expense rate increased due to lower sales and higher costs. The company plans to invest in growth initiatives, including a new membership program, to drive sales and market share in 2024 and beyond.

Mar 05, 2024 07:48:41

Target Corporation's Strong Third Quarter 2023 Financial Results

Target Corporation reported strong third quarter 2023 financial results, with a 5.2% operating income margin rate, a 36% increase in EPS, and over $5.3 billion in operating cash flow. Despite a 4.9% decline in comparable sales, the company saw growth in same-day services and a 14% reduction in discretionary category inventory. Target plans to offer over 10,000 new holiday items and expects a mid-single digit decline in comparable sales for the fourth quarter.

Nov 15, 2023 06:55:10