Target (NYSE:TGT) Updates FY 2026 Earnings Guidance

Target (NYSE:TGT) updated its FY 2026 earnings guidance on Wednesday morning. The company provided earnings per share (EPS) guidance of 9.900-10.900 for the period, compared to the consensus earnings per share estimate of 7.720. The company issued revenue guidance of $110.0 billion-$110.0 billion, compared to the consensus revenue estimate of $106.4 billion.

Wall Street Analysts Forecast Growth

A number of brokerages have issued reports on TGT. KeyCorp restated a “sector weight” rating on shares of Target in a research report on Thursday, May 21st. Wolfe Research set a $169.00 price target on Target in a research note on Monday, August 3rd. Bank of America reiterated an “underperform” rating and issued a $124.00 price target (up from $110.00) on shares of Target in a research note on Wednesday, August 12th. Citigroup restated a “market outperform” rating on shares of Target in a research note on Monday. Finally, Truist Financial lifted their price objective on Target from $130.00 to $147.00 and gave the company a “hold” rating in a report on Friday, August 14th. One research analyst has rated the stock with a Strong Buy rating, twelve have issued a Buy rating, sixteen have issued a Hold rating and three have assigned a Sell rating to the stock. Based on data from MarketBeat, the company has an average rating of “Hold” and a consensus target price of $145.33.

Target Price Performance

Shares of NYSE:TGT opened at $159.11 on Thursday. The firm has a 50 day moving average of $139.71 and a 200-day moving average of $127.38. The stock has a market capitalization of $72.27 billion, a PE ratio of 21.02, a PEG ratio of 2.47 and a beta of 0.97. 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 12 month low of $83.44 and a 12 month high of $161.98.

Target (NYSE:TGT) last posted its quarterly earnings results on Wednesday, August 19th. The retailer reported $4.11 earnings per share (EPS) for the quarter, topping the consensus estimate of $2.35 by $1.76. The business had revenue of $26.54 billion for the quarter, compared to analyst estimates of $26.15 billion. Target had a net margin of 3.24% and a return on equity of 22.92%. The firm’s revenue for the quarter was up 5.3% on a year-over-year basis. During the same quarter last year, the business posted $2.05 EPS. Target has set its FY 2026 guidance at 9.900-10.900 EPS. On average, equities research analysts predict that Target will post 8.43 EPS for the current fiscal year.

Target Increases Dividend

The firm also recently announced a quarterly dividend, which will be paid on Tuesday, September 1st. Shareholders of record on Wednesday, August 12th will be issued a $1.16 dividend. The ex-dividend date of this dividend is Wednesday, August 12th. This represents a $4.64 dividend on an annualized basis and a dividend yield of 2.9%. This is a boost from Target’s previous quarterly dividend of $1.14. Target’s dividend payout ratio (DPR) is 61.29%.

Insider Activity

In other news, insider Cara A. Sylvester sold 10,000 shares of the business’s stock in a transaction on Friday, May 29th. The stock was sold at an average price of $125.89, for a total transaction of $1,258,900.00. Following the completion of the transaction, the insider owned 45,930 shares of the company’s stock, valued at approximately $5,782,127.70. The trade was a 17.88% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders own 0.13% of the company’s stock.

Target News Summary

Here are the key news stories impacting Target this week:

• Positive Sentiment: Target reported second-quarter sales of $26.54 billion, up 5.3% year over year and ahead of estimates near $26.15 billion. Comparable sales increased 3.8%, supported by a 3.6% rise in traffic. Target Corporation Reports Second Quarter Earnings
• Positive Sentiment: Reported EPS was $4.11, substantially above the $2.35 analyst consensus and up from $2.05 a year earlier. Adjusted earnings were also reported above expectations, indicating broad improvement in operating performance. Target Earnings Report
• Positive Sentiment: Management raised fiscal 2026 guidance to approximately $9.90–$10.90 EPS and about 5% sales growth, above prior expectations. The improved outlook reflects stronger traffic, digital demand, merchandise performance and pricing initiatives. Target lifts annual forecasts
• Positive Sentiment: Target said traffic from artificial-intelligence platforms is contributing to digital discovery and sales growth, adding another potential avenue for online customer acquisition. Target touts AI-platform traffic
• Neutral Sentiment: The company’s dividend remains attractive at $1.16 per share quarterly, or $4.64 annually, but its recent 1.8% increase trails Walmart’s dividend-growth profile and may limit appeal for investors focused primarily on income.
• Negative Sentiment: Nearly $1 billion in tariff refunds materially boosted quarterly profitability. Because this benefit is largely one-time, investors may discount part of the earnings beat and focus more closely on underlying margins and future costs. Target raises fiscal-year forecast
• Negative Sentiment: After a strong rally that brought the stock close to its 52-week high, valuation and expectations are elevated. Jim Cramer remained bullish but advised investors to wait for a pullback, highlighting near-term profit-taking risk. Jim Cramer comments on Target

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of TGT. Virtu Financial LLC acquired a new stake in shares of Target during the 4th quarter valued at $515,000. Mcguire Capital Advisors Inc. acquired a new stake in shares of Target during the fourth quarter valued at about $67,000. Compound Planning Inc. boosted its stake in shares of Target by 38.4% during the fourth quarter. Compound Planning Inc. now owns 3,872 shares of the retailer’s stock valued at $379,000 after purchasing an additional 1,074 shares in the last quarter. TMB Capital Partners LLC acquired a new stake in shares of Target during the fourth quarter valued at about $300,000. Finally, Invesco Ltd. grew its holdings in shares of Target by 21.1% during the fourth quarter. Invesco Ltd. now owns 4,734,609 shares of the retailer’s stock worth $462,808,000 after purchasing an additional 824,446 shares during the last quarter. 79.73% of the stock is currently owned by institutional investors.

Target Company Profile

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.