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. It also provides dry grocery, dairy, frozen food, beverages, candy, snacks, deli, bakery, meat, and food service; electronics, which includes video game hardware and software, toys, entertainment, sporting goods, and luggage; and furniture, lighting, storage, kitchenware, small appliances, home decor, bed and bath, home improvement, school/office supplies, greeting cards and party supplies, and other seasonal merchandise. In addition, the company sells merchandise through periodic design and creative partnerships, and shop-in-shop experience; and in-store amenities. Further, it sells its products through its stores; and digital channels, including Target.com. Target Corporation was incorporated in 1902 and is headquartered in Minneapolis, Minnesota.

Target appears to be a mature retailer with decent profitability, but with noticeable pressure on valuation quality and liquidity. P/E at 17.25 is below the industry median, and P/S of 0.56 also looks moderate, which supports the idea that revenue and earnings are not priced too expensively. However, P/B of 3.62 is more than twice the industry median, and P/FCF of 19.64 is also above the market, so from a book-value and cash-flow perspective the stock does not look cheap. Debt burden is above the median, while a quick ratio of 0.30 and a current ratio of 0.93 indicate weak short-term liquidity, which limits the valuation premium. ROE of 21.74 and ROI of 11.24 remain strong and above the industry, but they are already worse than a year ago, suggesting a gradual cooling in efficiency. ROA is only slightly below the median, while net and operating margins are noticeably below industry benchmarks and are declining year over year, which is the main fundamental downside. Gross margin remains relatively stable, but it is also below the median, so there is still no sign of improvement in the operating model. EPS and forward EPS look strong relative to the industry, and revenue and net income remain large in absolute terms, supporting the business’s resilience. At the same time, revenue and profit trends do not show convincing acceleration, and EBITDA and operating income do not signal a substantial improvement in the trend. Dividend yield has fallen to zero in the latest observation after higher levels previously, removing part of the investment appeal for income-oriented investors. Overall, the fundamentals point to a quality business that is not cheap and is not accelerating, with normal return on capital but weak liquidity and margin pressure. Therefore, it would be appropriate to only moderately lower the target price, while maintaining a cautious view on the shares.

Target Corporation

Сильный индекс, значительно упал. Быки в растерянности.

Strong index, significantly down. The bulls are confused.

Сильный индекс, значительно вырос. Рынок на стороне быков.

Strong index, significantly up. The market is on the bulls' side.

Сильный индекс, значительно вырос. Приток средств в лонги на высоком уровне.

Strong index, significantly up. Inflow of funds into longs at a high level.

Target has strong ROE and EPS, but weak liquidity, margins, and expensive P/B/P/FCF; the fundamentals rather justify a moderately more cautious assessment.

Key Points
The average dividend yield on the S&P 500 is just 1.09%.
Target is paying out a hefty yield that is three times higher.
The retailer's shares are already up 40% year to date.
Here's a fact for you -- the average dividend yield on the S&P 500 is currently at 1.09%, the lowest it has been in at least 155 years, dating back to 1871.
This means that of the more than 400 companies which pay dividends, the average yield among them is just over 1%. Average yields among S&P 500 companies have been between 1% and 2% throughout the 2020s; the last time it was over 2% was in 2018.
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Why have yields dropped to historic lows? There are a few reasons for that. One, the stock market has been on one of its best runs in decades as the S&P 500 has had three straight years of strong returns.
When stock prices are higher, yields are typically lower. That's because the yield is based on the annual dividend per share divided by the share price. So if the share price is up, and the dividend stays the same, the yield will be lower.
Also, the S&P 500 has become top-heavy, dominated by the Magnificent Seven and other large tech stocks. The large tech stocks that do pay dividends don't typically pay high yields. That's largely because they are growth companies that typically invest excess capital into AI and other growth initiatives.
But there is one S&P 500 stock -- a Dividend King, no less -- that pays a yield that is more than three times higher than the S&P 500 average: Target (NYSE: TGT). (A Dividend King is a company that's raised its dividend for 50 or more consecutive years.) Here's why it's a good time to buy Target stock by early August.
Target turnaround
Target stock has been in a turnaround mode, as shares are up 40% year to date. The retail stock has been long overdue for a turnaround as it endured four straight years -- from 2022 through 2025 -- of negative calendar-year returns.
Target's stock was so beaten down that its P/E ratio had dropped to 10 late last year. So, it became more attractive from a valuation standpoint. New management has been able to right the ship. In the first quarter, Target increased sales by 7% year over year and had a 4.4% boost in comparable-store sales.
Management also raised its guidance, calling for 4% sales growth in 2026, up from the previous guidance of 2% growth. In addition, Target adjusted its operating income margin rate so that it is 20 basis points higher than the 4.6% rate in 2025. Further, it expects earnings per share (EPS) to be at the high end of its $7.50 to $8.50 range. In 2025, full-year EPS was $8.13 per share.
Dividend royalty
But the major benefit Target has for investors is its dividend, which has always been one of the best. It has raised its dividend for 55 consecutive years and pays out a high yield of 3.45%. And it just raised its dividend again, bumping it up 1.8% to $1.16 per share.
Target is a good buy right now because shareholders of record as of Aug. 12 will get the dividend raise when it gets paid out on Sept. 1. And with its still-cheap valuation and sales momentum, the stock could charge higher heading into its Q2 earnings report on Aug. 19.
Should you buy stock in Target right now?
Before you buy stock in Target, consider this:
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Dave Kovaleski has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Target. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Meet the Dividend King Stock That Yields More Than Triple the S&P 500. Here's Why It's a Buy Before the End of July.

Walmart Inc. WMT is broadening its appeal beyond value-focused consumers as higher-income households respond to its mix of low prices, convenience and wider product selection. The sustainability of these gains will depend on whether those shoppers continue using Walmart across more categories and shopping occasions.
The first quarter of fiscal 2027 showed further progress. Walmart U.S. recorded broad-based share gains across categories and income tiers, led by upper-income households. Comparable sales rose 4.1%, driven by a 3% increase in transactions and a 1.1% rise in the average ticket.
Digital convenience is supporting that engagement. Walmart U.S. e-commerce sales advanced 26%, while store-fulfilled delivery grew about 45%. Nearly 36% of store-fulfilled orders were delivered in less than three hours, and Walmart can now reach about 60% of the U.S. population within 30 minutes.
A broader assortment is also helping attract higher-income customers. U.S. marketplace net sales increased nearly 50%, aided by greater engagement from higher-income households. Fashion posted its strongest share growth in five years, while expanded offerings supported results in patio and garden, sporting goods, furniture and toys.
While higher tax refunds may have supported some general merchandise demand during the quarter, Walmart’s combination of value, delivery speed and assortment breadth gives it several ways to stay relevant to higher-income shoppers. Sustained transaction growth and continued strength in marketplace and general merchandise would indicate that these customers are becoming a more consistent part of Walmart’s business.
What Do the Latest Metrics Say About Walmart?
Walmart, which competes with Costco Wholesale Corporation COST and Target Corporation TGT, has seen its shares rally 12.2% over the past year compared with the industry’s 10.1% growth. Shares of Costco have climbed 0.3%, while Target has gained 28.5% in the aforementioned period.
Image Source: Zacks Investment Research
From a valuation standpoint, Walmart's forward 12-month price-to-earnings ratio stands at 35.6, higher than the industry’s 32.49. The company is trading at a premium to Target (with a forward 12-month P/E ratio of 15.88) while trading at a discount to Costco (41.93).
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Walmart’s current fiscal-year sales and earnings per share implies year-over-year growth of 5.2% and 9.5%, respectively.
Walmart currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
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Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
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Can Walmart Sustain Gains Among Higher-Income Customers?

Costco Wholesale Corporation COST is demonstrating remarkable momentum in its private label operations, leveraging its Kirkland Signature brand to deliver exceptional value to members. It is evolving into one of the retailer’s most effective growth engines, helping strengthen member loyalty while supporting merchandising differentiation.
Management highlighted that Kirkland Signature continues to drive growth in food and sundries by pairing equal or better quality with savings of at least 15% to 20% compared with national brands. Rather than relying on promotions, Costco is expanding the assortment with products designed to meet emerging consumer preferences.
New launches during the third quarter of fiscal 2026 included Kirkland Signature Energy Drink, Kirkland Signature Ultra Filtered Milk, Kirkland Signature Sea Salt Popcorn and Kirkland Signature Oven Roasted Chicken Dog Food, reflecting the brand’s expansion into faster-growing categories.
The strategy extends beyond introducing new products. Costco also lowered prices on several Kirkland Signature staples, including Crispy Wings, Milk Chocolate Almonds, Golf Balls and King Size Sheets, underscoring management’s commitment to passing cost efficiencies back to members instead of protecting margins.
Management suggested that Kirkland Signature is keeping pace with changing consumption trends. The company pointed to strong demand for protein-focused products, noting that its newly launched Ultra Filtered Protein Milk has gained traction quickly as shoppers increasingly prioritize health and wellness.
What the Latest Metrics Say About Costco
Costco, which competes with Dollar General Corporation DG and Target Corporation TGT, has seen its shares drop 5.9% over the past three months compared with the industry’s 1.4% decline. While shares of Dollar General have risen 1.3%, those of Target have jumped 7.6% in the aforementioned period.
From a valuation standpoint, Costco's forward 12-month price-to-earnings ratio stands at 41.93, higher than the industry’s ratio of 30.58. However, the stock is trading below its 12-month median level of 46.07, indicating some moderation in valuation despite sustained investor confidence in the stock.
Costco is trading at a premium to Target (with a forward 12-month P/E ratio of 15.88) and Dollar General (15.26).
The Zacks Consensus Estimate for Costco’s current financial-year sales and earnings per share implies year-over-year growth of 9.6% and 13.5%, respectively. For the next fiscal year, the consensus estimate indicates a 7.8% rise in sales and 10.2% growth in earnings.
The consensus estimates for earnings per share for both the current and next fiscal year have increased by 6 cents to $20.42 and $22.50, respectively, over the past 60 days.
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Costco currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
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Costco's Kirkland Brand Is Becoming a Powerful Growth Engine

Target Corporation’s TGT digital business is becoming much more than an online sales channel. Instead, the company is steadily building a broader digital ecosystem in which shopping, memberships, advertising and marketplace offerings reinforce one another.
Digital comparable sales rose 8.9% in the first quarter of fiscal 2026, comfortably outpacing store comparable growth of 4.7%. The strongest contributor was same-day delivery, which rose more than 27%, supported by growing adoption of Target Circle 360. At the same time, non-merchandise revenues climbed nearly 25%, driven by Roundel advertising, Target Circle 360 membership revenues and the expanding Target+ marketplace.
Management’s commentary revealed that these businesses are becoming increasingly interconnected. First-party digital sales advanced nearly 9%, while Target+ gross merchandise volume jumped nearly 60%. Target also highlighted that higher-margin businesses such as Roundel and Target+ contributed to gross margin improvement, demonstrating that digital expansion is creating value beyond transaction growth.
Another noteworthy aspect is that Target continues to leverage its store network to strengthen digital capabilities rather than replace physical retail. More than 95% of sales are fulfilled through stores, allowing investments in remodels and supply-chain improvements to enhance both in-store shopping and digital fulfillment. Management is also simplifying fulfillment processes and investing in technology to support rising digital demand without compromising store operations.
These developments indicate that Target is building an integrated digital structure that helps it engage customers across multiple touchpoints.
How Target Compares With Walmart and BJ’s Wholesale
Walmart Inc. WMT is also strengthening its digital ecosystem by integrating e-commerce, marketplace, advertising and membership into a unified platform. Walmart reported 26% global e-commerce growth, with U.S. advertising up 36%, marketplace sales rising nearly 50% and Walmart+ delivering record first-quarter net additions. Management also highlighted faster store-fulfilled delivery and expanding AI capabilities, reinforcing how Walmart is creating multiple digital engagement and monetization channels beyond traditional retail sales.
BJ's Wholesale Club Holdings, Inc. BJ is taking a membership-led approach to digital ecosystem expansion. BJ’s Wholesale delivered 28% digitally enabled comparable sales growth, supported by stronger adoption of curbside pickup, same-day delivery and ExpressPay. Management noted that most digital orders are fulfilled through clubs, while ongoing AI investments are improving operations and member convenience. By combining digital services with its membership model, BJ’s Wholesale is steadily deepening engagement across multiple shopping touchpoints.
What the Latest Metrics Say About Target
Target has seen its shares jump 7.6% over the past three months against the industry’s decline of 1.4%.
Image Source: Zacks Investment Research
From a valuation standpoint, Target's forward 12-month price-to-earnings ratio stands at 15.88, lower than the industry’s ratio of 30.58. However, TGT is trading above its 12-month median level of 14.05.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for Target’s current financial-year sales and earnings per share implies year-over-year growth of 3.9% and 10.3%, respectively. For the next fiscal year, the consensus estimate indicates a 2.9% rise in sales and 6.4% growth in earnings.
The consensus estimate for earnings per share for the current and next fiscal year has increased by 2 cents and 3 cents to $8.35 and $8.89, respectively, over the past 60 days.
Image Source: Zacks Investment Research
Target currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Zacks' Research Chief Names "Stock Most Likely to Double"
Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest.
This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%.
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Target Is Quietly Building a Stronger Digital Ecosystem Than Expected

Key Points
E.l.f. is poised to see strong growth as it expands Rhode's product assortment and pushes the brand into international markets.
The company is also expanding its namesake brand into hair care.
E.l.f. Beauty (NYSE: ELF) hasn't given investors a lot to cheer about lately, with the stock down about 30% over the past year. However, that could be about to change as the company starts to rev up the growth of its recently acquired Rhode brand and expand its namesake brand into a new category.
Growth catalysts ahead
E.l.f. completed its $1 billion acquisition of Rhode last August. At the time of the deal, the high-end skincare line founded by celebrity Hailey Bieber had quickly grown to over $200 million in sales, offering just a handful of products on its website with little marketing outside of Bieber's own fame. E.l.f. is now in the process of ramping up Rhode's growth, which should help bring renewed interest to the stock.
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Before its acquisition, Rhode had already entered an agreement to start being sold in LVMH's Sephora stores. Rhode saw strong success with its launch in U.S. and Canadian Sephora stores, but it has now started to expand overseas. After a highly successful debut at Sephora stores in the U.K. last September, e.l.f. will now expand the Rhode brand throughout Europe, both within Sephora stores and online. It also entered the Australia and New Zealand markets in February, and began offering its products direct to consumers in Mexico in June.
In addition to expanding internationally, Rhode has also started to expand its product assortment. With its Summer 2026 collection, the brand broadened its color cosmetic portfolio by entering the bronzer category while introducing other new items, like its Highlight Milk, its first-ever skin-prep, skin-finish crossover product. This follows an earlier move into spot treatment products, like pimple patches.
Meanwhile, e.l.f. is also looking to make a big move with its namesake brand. After disrupting the mass-market cosmetics category, the company is now set to go after the hair care category. It said its research showed that 77% of its customers were interested in e.l.f. offering hair care products, and that two limited-edition products scored high marks with consumers. It will enter the category with a new marketing campaign with products including shampoo, conditioner, treatment oil, styling spray/cream, and a styling cream wand. The products will be sold at Target and through TikTok shops.
Between Rhode's increased product assortment and distribution and e.l.f.'s entry into hair care, the company should see strong growth in the coming years. Meanwhile, the stock looks like a bargain, trading at a forward P/E of less than 22 times fiscal 2028 (ending March 2028) analyst estimates. Overall, e.l.f. is a growth stock that looks ready to rally.
Should you buy stock in e.l.f. Beauty right now?
Before you buy stock in e.l.f. Beauty, consider this:
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Geoffrey Seiler has positions in LVMH Moët Hennessy - Louis Vuitton and e.l.f. Beauty. The Motley Fool has positions in and recommends Target. The Motley Fool recommends Lvmh Moët Hennessy - Louis Vuitton, Société Européenne and e.l.f. Beauty. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

e.l.f. Stock Hasn't Given Investors a Lot to Cheer About Lately. Here's Why That Could Change.

Key Points
Symbotic recently entered the healthcare sector with a new customer.
The company is aggressively deploying more automation systems to fulfill a growing backlog.
Symbotic shares, however, have sold off on profit-taking.
Symbotic's (NASDAQ: SYM) backlog might be soaring, but the stock still lost 24.5% value in the first half of 2026, according to data provided by S&P Global Market Intelligence.
So what actually happened? The market set the bar incredibly high for the robotics company, and Symbotic couldn't keep up. To make matters worse, key insiders dumped shares, sending the stock into a tailspin.
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Huge backlog and a big customer win
Heading into the year, Symbotic was trading like a high-flying tech stock, closing 2025 with a 150% surge. The company builds high-speed AI-powered intelligent robots to automate warehouses. It builds gigantic systems, each containing hundreds of robots, that can handle everything from receiving goods at a center to their dispatch.
When a stock is riding that high, though, anything the market perceives as a misstep gets punished hard. That's what happened with Symbotic, especially after its second-quarter earnings release in early May.
There was nothing wrong with its numbers. In fact, the company swung to net income of $9 million in Q2, versus a loss of $10 million in the year-ago quarter, on 23% top-line growth. The consensus, however, projected an even bigger jump in profits, but didn't foresee the rise in costs.
Symbotic's expenses rose as it deployed more systems, with the total number of systems in deployment rising to 70 by the end of the second quarter from 46 one year earlier. Those high costs squeezed its profit margins, and the stock fell as investors panicked at how capital-intensive this growth really is.
Investors didn't care that Symbotic had a $22.7 billion backlog, or 10 times its 2025 revenue. They also overlooked one of the company's biggest developments in recent years: In April, it signed its first customer outside the food and grocery business, Medline. Medline is the nation's largest manufacturer and supplier of medical-surgical products with a global warehouse footprint of more than 29 million square feet.
The sell-off in Symbotic, however, continued, even picking up momentum later in May when major institutional backer SoftBank Group and its affiliates dumped 5.59 million shares at $50.41 per share. Softbank, however, remains a large investor and partner in Symbotic, and it's common for long-term institutional sponsors to sell large chunks of shares in companies as they mature.
Should you buy Symbotic stock before August 5?
Symbotic shares have slid in recent weeks on profit-taking, but the business remains solid.
The company already has large customers such as Walmart and Target, though Walmart alone accounted for 85 % of its revenue in 2025. That figure explains why adding Medline is such a big milestone. It not only diversifies Symbotic's customer base, which is a must, but also reflects the growth opportunities ahead across a variety of industries.
Symbotic will report its third-quarter numbers on August 5 after the market close. It expects to generate $710 in revenue at the midpoint, or roughly 20% year-over-year growth. Don't bet on Sit for one quarterly report though -- it is a compelling robotics and automation stock to buy on dips for the long term.
Should you buy stock in Symbotic right now?
Before you buy stock in Symbotic, consider this:
The Motley Fool Stock Advisor analyst team just identified what they believe are the 10 best stocks for investors to buy now… and Symbotic wasn’t one of them. The 10 stocks that made the cut could produce monster returns in the coming years.
Consider when Netflix made this list on December 17, 2004... if you invested $1,000 at the time of our recommendation, you’d have $370,332!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,272,280!*
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Neha Chamaria has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Medline, Symbotic, Target, and Walmart. The Motley Fool has a disclosure policy.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Why Symbotic Stock Dropped 24% in the First Half of 2026 And Is a Screaming Buy Now

Target Corporation TGT is advancing its digital transformation through investments in artificial intelligence (AI), advanced analytics and technology. The company is expanding the use of AI-enabled tools to support merchandising decisions, improve operational planning and enhance the shopping experience. Management views these investments as a key part of its refreshed strategy to strengthen retail execution across stores and digital channels.
AI-enabled tools are helping Target's merchandising teams make faster, more informed decisions. The company is leveraging advanced analytics to refine assortment planning, optimize merchandising execution and respond more effectively to changing consumer preferences. These capabilities are streamlining workflows and supporting the company's focus on delivering compelling assortments across its priority merchandise categories.
Technology investments are also strengthening Target's supply chain and store operations. The retailer is enhancing data connectivity across its distribution network to improve inventory visibility and product availability. During the fiscal first quarter of 2026, these efforts contributed to stronger in-stock performance despite higher-than-expected sales, while strengthening coordination across merchandising, distribution and store operations.
Target continues to expand its digital and omnichannel ecosystem, with stores serving as the foundation of its fulfillment network. In the fiscal first quarter, digitally originated comparable sales increased 8.9%, while same-day delivery grew more than 27%, driven by Target Circle 360. Digital represented 20.3% of merchandise sales, up from 19.8% a year ago and stores fulfilled 97.6% of total merchandise sales. Management also highlighted nearly 60% growth in first-quarter gross merchandise value ("GMV") at Target Plus, reflecting strong marketplace momentum and expanding revenue opportunities.
The company's technology investments are also enhancing the in-store experience. During the fiscal first quarter, several guest satisfaction metrics reached three-year highs, including wait times, product availability, store cleanliness and team interactions. As Target continues investing in AI-enabled tools, digital capabilities and operational improvements, it is building a more connected retail platform that supports efficient execution and a seamless omnichannel shopping experience.
Target’s Price Performance, Valuation & Estimates
TGT stock has gained 30.6% over the past six months compared with the industry’s 2% growth.
Image Source: Zacks Investment Research
Target’s forward 12-month price-to-earnings ratio of 16.09 reflects a lower valuation than the industry’s average of 30.81. TGT has a Value Score of A.
Image Source: Zacks Investment Research
The Zacks Consensus Estimate for TGT’s fiscal 2026 earnings implies year-over-year growth of 10.3%, while the same for fiscal 2027 indicates growth of 6.4%. Earnings estimates for fiscal 2026 and 2027 have increased by 5 cents each, respectively, over the past 60 days.
Image Source: Zacks Investment Research
Target currently carries a Zacks Rank #2 (Buy).
Other Key Picks
Some other top-ranked stocks in the retail space are Dollar Tree Inc. DLTR, Ross Stores Inc. ROST and The TJX Companies, Inc. TJX.
Dollar Tree is an operator of discount variety stores offering a broad assortment of everyday consumables and discretionary merchandise. The company currently carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 (Strong Buy) Rank stocks here.
The Zacks Consensus Estimate for Dollar Tree’s current fiscal-year sales and earnings indicates growth of 6.5% and 21.7%, respectively, from the year-ago reported figures. DLTR delivered a trailing four-quarter earnings surprise of 32.1%, on average.
Ross Stores operates as an off-price retailer of apparel and home accessories. It presently carries a Zacks Rank #2.
The Zacks Consensus Estimate for Ross Stores’ current fiscal-year earnings and sales implies growth of 17.1% and 10.1%, respectively, from the year-ago actuals. ROST delivered a trailing four-quarter average earnings surprise of 10.2%.
TJX Companies is a leading off-price retailer of apparel and home fashions. It also has a Zacks Rank of 2 at present.
The Zacks Consensus Estimate for TJX Companies’ current fiscal-year earnings and sales implies growth of 9.3% and 5.9%, respectively, from the year-ago actuals. TJX delivered a trailing four-quarter average earnings surprise of 8.8%.
Beyond Nvidia: AI's Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren't likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Target's AI & Digital Investments Strengthen Retail Operations

(RTTNews) - Target Corporation (TGT) said on Wednesday that it has elected Joe DePinto, former CEO of 7-Eleven, Inc., to its Board of Directors. He will join Target's Board on August 1 and serve on Infrastructure and Finance, and Audit and Risk committees.
DePinto has over 30 years of leadership experience across retail and consumer products. He also held leadership roles at PepsiCo Inc.(PEP) and GameStop Corporation (GME) and brings public company governance expertise from boards including Brinker International Inc. (EAT), Jo-Ann Stores (JAS), and OfficeMax Inc.(OMX).
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Target Corporation Appoints Former CEO Of 7-Eleven As Board Member

Burlington Stores, Inc. BURL is making steady progress with its smaller store format strategy, an initiative aimed at improving sales productivity while driving long-term profitability. The company continues to optimize its store portfolio through new store openings, relocations and downsizing projects, creating a more productive and efficient retail footprint. These initiatives are enhancing Burlington's competitive position and supporting sustainable growth across its off-price business.
Burlington's relocation and downsizing programs are delivering solid returns. Relocated stores typically generate a 5% to 10% sales lift by moving to higher-traffic shopping centers with stronger co-tenancy. The company is resizing older stores where the locations remain attractive but the selling space is larger than required. In many cases, Burlington reduces store size by roughly half, lowering occupancy costs by about 200 basis points while maintaining an engaging shopping experience.
The strategy has significantly improved store productivity over the past several years. Sales per selling square foot have increased to approximately $350 from about $220 in 2019, representing a 55% improvement. Management attributes this gain to a combination of smaller, more productive stores, stronger merchandising execution and better utilization of selling space. As more stores are relocated or downsized, Burlington expects additional occupancy cost leverage and improved operating efficiency.
The company is accelerating this transformation through continued investment in its store network. Burlington opened 40 new stores in the first quarter of fiscal 2026 and expects to add 115 net new stores in fiscal 2026. By the end of 2028, the retailer expects to operate more than 1,500 stores, with over 80% of its fleet having been opened, relocated or downsized since 2019. The company expects to complete its Store Experience 2.0 rollout by the end of this year, making stores easier to shop and more appealing to customers.
Burlington's focus on smaller, more productive stores complements its broader off-price strategy by improving efficiency without compromising customer value. Reflecting confidence in its execution, the company raised its fiscal 2026 outlook and expects total sales growth of 9% to 11%, comparable sales growth of 2% to 4% and adjusted earnings per share of $11.45 to $11.80. Management remains optimistic about the remainder of the year, supported by healthy customer demand, ample off-price merchandise availability and continued progress across its store optimization initiatives.
Burlington’s Price Performance, Valuation & Estimates
BURL stock has gained 17.4% over the past six months compared with the industry’s 2.7% growth.
Burlington’s trailing 12-month price-to-sales ratio of 1.90X indicates a lower valuation compared with the industry’s average of 1.98X. BURL carries a Value Score of B.
The Zacks Consensus Estimate for Burlington’s current fiscal-year sales and earnings per share implies year-over-year growth of 10.8% and 20%, respectively. Next fiscal-year sales and earnings per share imply year-over-year growth of 8.8% and 15.4%, respectively. Earnings estimates for the current and next fiscal years have been revised upward by 36 cents and 35 cents per share, respectively, over the past 60 days.
Burlington currently carries a Zacks Rank #2 (Buy).
Other Key Picks
Some other top-ranked stocks in the retail space are Dollar Tree Inc. DLTR, Ross Stores Inc. ROST and Target Corporation TGT.
Dollar Tree is an operator of discount variety stores offering a broad assortment of everyday consumables and discretionary merchandise. The company currently carries a Zacks Rank of 2. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
The Zacks Consensus Estimate for Dollar Tree’s current fiscal-year sales and earnings indicates growth of 6.5% and 21.7%, respectively, from the year-ago reported figures. DLTR delivered a trailing four-quarter earnings surprise of 32.1%, on average.
Ross Stores operates as an off-price retailer of apparel and home accessories. It presently carries a Zacks Rank #2.
The Zacks Consensus Estimate for Ross Stores’ current fiscal-year earnings and sales implies growth of 17.1% and 10.1%, respectively, from the year-ago actuals. ROST delivered a trailing four-quarter average earnings surprise of 10.2%.
Target offers guests fashionable, differentiated merchandise and everyday essentials at discounted prices. It also has a Zacks Rank of 2 at present.
The Zacks Consensus Estimate for Target’s current fiscal-year earnings and sales implies growth of 21.7% and 6.5%, respectively, from the year-ago actuals. TGT delivered a trailing four-quarter average earnings surprise of 32.1%.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Burlington's Smaller Store Format Improves Sales Productivity

(RTTNews) - Retail chain Target Corp. (TGT) said on Tuesday that it will launch a limited-time apparel, accessories and home collection designed by New York designer Rosie Assoulin, with most items priced under $50.
The 'Rosie Assoulin x Target' collection will go on sale on July 25 in select Target stores, on Target.com and in the Target app, the company said.
The collection includes dresses, matching sets, handbags, sandals and accessories. It also marks Assoulin's first multi-item home collection, with products including kitchen towels, beach towels and a tiffin box.
Target said the collaboration is part of its strategy to offer designer-inspired products at accessible prices.
Assoulin, a CFDA award-winning designer known for bold silhouettes and use of color, said the collection was designed to be "approachable, effortless and convertible."
To mark the launch, Target's SoHo store in New York City will host an art installation and giveaways on July 25. Select Target stores nationwide will also feature visual displays inspired by the collection, the company said.
In pre-market activity on NYSE, shares of Target were down 0.07 percent, changing hands at $139.50, after closing Monday's regular session 0.01 percent lower.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

Indicator	TTM Median
P/E	17.25 19.49
Price/Sales	0.56 0.76
P/B	3.62 1.77
P/FCF	19.64 16.67

Indicator	TTM Median
ROE	21.74 14.73
ROA	6.35 6.75
ROI	11.24 9.35
Net Worth	47.12 1.25
Quick Ratio	0.30 0.79
Current Ratio	0.93 1.32

Indicator	TTM Median
Net Profit Margin	3.24 6.48
Operating Margin	4.49 8.48
Gross Margin	27.93 33.20
Return on tangible equity	21.74 23.46

Indicator	TTM Median
EPS	2.44 0.62
EPS Forecast	2.17 0.48
Revenue	30.45B 136.00M
Gross Profit	7.38B —
EBITDA	1.95B —

Target Corporation

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