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’s strong return on capital is paired with a noticeably more expensive balance sheet valuation, and that is precisely what makes the picture mixed. A P/E of 16.27 and a P/S of 0.66 look moderate and even slightly better than the industry, but a P/B of 3.99 is significantly above the median, indicating an expensive valuation of equity. P/FCF is around the industry norm, so free cash flow does not appear to be the source of overvaluation, but it also does not provide much of a safety cushion. In terms of efficiency, the business looks high quality: ROE of 26.66, ROA of 7.36, and ROI of 14.16 are above industry benchmarks, while gross margin of 29.3% and operating margin of 5.59% have improved in recent periods. At the same time, net margin of 4.08% and operating margin are still below the industry median, meaning profitability exists but is not outstanding for the sector. Revenue and earnings trends are generally positive: revenue, EBITDA, and net income have grown compared with earlier periods, which supports the valuation. However, liquidity remains a weak point: a quick ratio of 0.36 and a current ratio of 0.93 are below industry levels, indicating limited short-term financial flexibility. Debt burden is also above the median on a debt/equity basis, and long-term debt remains significant, although it does not look critical given stable earnings and capital. Equity and assets are growing, which supports financial stability, but the high P/B valuation calls for a more cautious approach to the target price. Dividend yield has fallen to zero, so the dividend factor is not currently supporting the stock as an income name. Overall, the fundamentals are more good than weak, but the combination of a rich P/B, weak liquidity, and no dividend limits revaluation potential. For an investor, this means Target remains a high-quality retailer with strong returns on capital, but the current price already reflects part of those strengths.

Target Corporation

Сильный индекс, значительно упал. Оптимистичный взгляд на свои позиции резко сменился на неуверенность.

Strong index, significantly down. An optimistic view of his position suddenly changed to uncertainty.

Сильный индекс, без изменений. Рынок не поддерживает быков.

Strong index, flat. The market does not support the bulls.

Сильный индекс, без изменений. Отток средств из лонгов на высоком уровне.

Strong index, flat. Outflow of funds from longs at a high level.

Target looks strong in terms of ROE and earnings growth, but its high P/B valuation, weak liquidity, and zero dividend are limiting the upside.

Here are three stocks with buy rank and strong momentum characteristics for investors to consider today, October 13:
Repsol, S.A. REPYY: This multi-energy company has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 23.3% over the last 60 days.
Repsol SA Price and Consensus
Repsol's shares gained 16.4% over the last three months compared with the S&P 500’s decline of 3.8%. The company possesses a Momentum Score of A.
Target Corporation TGT: This retail company has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 24.3% over the last 60 days.
Target Corporation Price and Consensus
Target’s shares gained 15.5% over the last three months compared with the S&P 500’s decline of 3.8%. The company possesses a Momentum Score of A.
Target Corporation Price
Calumet, Inc. CLMT: This specialty chemicals and renewable fuels company has a Zacks Rank #1 and witnessed the Zacks Consensus Estimate for its current year earnings increasing 8.6% over the last 60 days.
Calumet, Inc. Price and Consensus
Calumet's shares gained 44.5% over the last three months compared with the S&P 500’s decline shares of 3.8%. The company possesses a Momentum Score of B.
Calumet, Inc. Price
Learn more about the Momentum score and how it is calculated here.
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Best Momentum Stocks to Buy for October 13th

Key Points
Dividend growers returned an annualized 10.2% from 1973 to 2023, versus 3.9% for non-payers, according to Hartford Funds and Ned Davis Research.
S&P's data shows dividend stocks have historically protected investors better in down months, not just delivered higher average returns.
The data rewards companies that consistently grow their dividend, not just any stock with a high yield, since dividend cutters performed worst of all.
Every few years, someone declares dividend investing old-fashioned, a strategy for retirees content with slow, boring gains while everyone else chases the next big thing. Then someone actually pulls the data, and the boring strategy wins again.
I'll throw myself into this discussion, too. I've always been pretty skeptical of dividends because they feel boring, unsexy, and slow. I'm naturally drawn to faster gains, but I've looked at this enough times now that I've stopped being surprised by it. The numbers just make the case better than I ever could.
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What 50 years of market data actually shows
Hartford Funds, working with research firm Ned Davis Research, tracked S&P 500 companies back to 1973, sorting them into two simple buckets: companies that grew or began paying dividends, and companies that paid nothing at all. From 1973 through 2023, that first group returned an annualized 10.2%. The non-payers managed 3.9%. Run that gap forward over five decades and you're not talking about a modest edge, you're talking about the difference between a portfolio that multiplies many times over and one that barely keeps pace with inflation.
Here's the part I find more interesting than the headline return, though: The dividend growers did it with less volatility, not more. Standard deviation, a measure of how wildly a stock's returns swing around its average, came in meaningfully lower for the dividend growers than for the non-payers. That matters practically, not just academically, because a smoother ride is what actually lets an investor stay invested through the bad years instead of panic-selling near the bottom, which is usually the single biggest thing that wrecks a long-term plan.
A separate data set tells the same story
S&P Dow Jones Indices runs a related experiment worth paying attention to. It tracks an index limited to S&P 500 companies that have raised their dividends every year for at least 25 consecutive years, a high bar that filters out almost everything except businesses with genuinely durable cash flow. A hypothetical $100 invested in that index back in May 2005, with dividends reinvested along the way, had grown to roughly $730 by the spring of 2025. That's not a cherry-picked stretch either; it spans the 2008 financial crisis, a pandemic, and the most aggressive rate-hiking cycle in decades.
What stands out to me more than the raw return is how that index behaves relative to the broader market during rough stretches. It has outperformed the S&P 500 more often during down months than during up months, which is a specific and useful pattern. It means these companies aren't earning their long-term returns by having a handful of spectacular, high-flying years. They're earning them by simply falling less when everything else is falling, quarter after quarter, decade after decade, in a way that compounds into a very different outcome over 20 years than most investors expect from what looks, on the surface, like a sleepy, unglamorous group of stocks.
What this looks like in a real portfolio
Consider Walmart (NASDAQ: WMT), which has raised its dividend for more than 50 straight years, through multiple recessions, the rise of e-commerce, and a complete transformation of how people shop. Walmart is a Dividend King, a company that has delivered 50 or more consecutive years of annual dividend increases. Or consider Target (NYSE: TGT), which has extended its own streak past the half-century mark despite plenty of its own stumbles along the way, including a rough stretch in 2025 and 2026 tied to slower traffic and tariff pressure.
Neither stock has been smooth or uneventful to own. Both kept raising the dividend anyway, through good years and bad ones, which is closer to what this data is actually describing than any single winning quarter.
None of this means every dividend stock is a buy, and it doesn't mean the next 50 years will replay the last 50. Dividend cutters and eliminators, the companies that reduce or kill their payout, performed worst of all in the Hartford Funds data, worse even than companies that never paid one.
The lesson here should be that a long record of raising a dividend tends to reflect a business with real, durable cash flow behind it, and that's a trait that's compounded quietly, reliably, and with less drama than almost anything else in the market.
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Micah Zimmerman has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Target and Walmart. The Motley Fool has a disclosure policy.

5 Decades of Data Confirm Long-Term Dividend Investing Delivers Real Returns

Key Points
Target is in the midst of a comeback, and it has continued to raise its dividend despite challenges.
Realty Income has paid its dividend monthly through any kind of interest rate environment.
Coca-Cola has one of the longest track records for dividend raises on the market.
There are many ways to benefit from investing in the stock market, and for retirees and many other investors, passive income is a big one. Even if you're a growth investor, you should own some dividend stocks. They're usually well-established industry leaders that add value and stability to any portfolio, as well as a passive income stream.
If you're looking for excellent candidates, consider Target (NYSE: TGT), Realty Income (NYSE: O), and Coca-Cola (NYSE: KO).
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1. Target
Target has been through some challenging times, but it has never cut or suspended its dividend. In fact, it's a Dividend King, meaning it has raised its dividend for at least 50 consecutive years. It's an exclusive status that implies rock-solid reliability, and the company recently raised its dividend for the 55th time.
Although Target stock is still 43% off its high after making some missteps, it's up 72% over the past year as it makes a comeback. Some of the actions it's taken include store renovations and an improved product assortment, and they're bringing customers back into stores.
In its 2026 fiscal second quarter (ended Aug. 1), sales increased 5.3% year over year, driven by a 3.8% increase in comparable sales (comps). Growth was across categories and channels, and importantly for the recovery, store comps were up 2.7%. Target has enjoyed a robust digital business throughout its challenges, and digital sales remained strong in the quarter, up 8.7%.
These are short-term metrics, but it's more important for passive income investors to look at the bigger picture. Target is one of the largest retailers in the U.S., and it has a massive following of fans who rely on it for their essentials and other purchases. It has a strong digital network, and it has always bounced back from difficult times.
Target's dividend yields 3% at today's price, making it a great option for dependable dividend income.
2. Realty Income
Realty Income is a retail real estate investment trust (REIT), a structure that pays out 90% of its earnings as dividends. In general, REITs make great dividend stocks, and Realty Income is a top pick.
Realty Income owns 15,500 properties worldwide and has a large pipeline of high-quality properties to add to its portfolio. It has also made several large acquisitions of smaller REITs, expanding its business, and it has access to funding to maintain this model.
It has stable revenue streams since it leases its properties predominantly to large retail chains like 7-Eleven and Walgreens, and it has an occupancy rate that rarely dips below 98%; during the worst of the pandemic, it was 97.9%, and it can count on its tenant base of essentials retailers to stay open and pay their rent, generating reliable cash flows and funding the dividend.
Realty Income paid a dividend even before it became a public company, going back more than 56 years. It pays monthly, which is an extra perk for investors who rely on passive income. It has raised the dividend for 116 quarters, or four times a year for 29 years.
Realty Income stock has been feeling the impact of high interest rates, which investors are concerned could put pressure on its business. After all, it uses credit to fund its purchases. However, it has paid dividends and raised them across various interest rate environments in the past, and at the current stock price, the dividend yields 5.7%.
3. Coca-Cola
Coca-Cola is the classic great dividend stock. It's also a Dividend King, and it has raised the dividend for the past 64 years, one of the best track records on the market.
Fans know the company for its classic Coke-branded beverages, but it owns about 200 brands and has a massive global distribution network. It owns 32 brands that generate at least $1 billion each, and one of the ways it grows is by acquiring new brands with high potential. These add revenue to the total and become more efficient as they're added to the distribution system, benefiting the company's margins.
The market has been loving Coca-Cola stock recently, as its local production shields it from the worst of the tariff impact and as consumers continue to buy its products despite inflation. Revenue increased 7% year over year in the second quarter, and the company has been able to successfully raise prices and take other actions to combat higher costs, leading to improved profitability as well.
At the current price, Coca-Cola's dividend yields 2.4%. Historically, it has been around 3%, but Coca-Cola stock is up 24% this year as investors embrace its resilience. That's one of the reasons you can count on Coca-Cola's passive income for years to come.
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Jennifer Saibil has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Realty Income and Target. The Motley Fool has a disclosure policy.

Looking to Generate Passive Income From Stocks? 3 Unstoppable Dividend Stocks to Buy Now.

Among the underlying components of the S&P 500 index, we saw noteworthy options trading volume today in NRG Energy Inc (Symbol: NRG), where a total of 16,258 contracts have traded so far, representing approximately 1.6 million underlying shares. That amounts to about 59% of NRG's average daily trading volume over the past month of 2.8 million shares. Especially high volume was seen for the $110 strike call option expiring October 16, 2026, with 10,077 contracts trading so far today, representing approximately 1.0 million underlying shares of NRG. Below is a chart showing NRG's trailing twelve month trading history, with the $110 strike highlighted in orange:
Moderna Inc (Symbol: MRNA) saw options trading volume of 78,866 contracts, representing approximately 7.9 million underlying shares or approximately 52.5% of MRNA's average daily trading volume over the past month, of 15.0 million shares. Especially high volume was seen for the $170 strike put option expiring October 02, 2026, with 4,333 contracts trading so far today, representing approximately 433,300 underlying shares of MRNA. Below is a chart showing MRNA's trailing twelve month trading history, with the $170 strike highlighted in orange:
And Target Corp (Symbol: TGT) saw options trading volume of 16,122 contracts, representing approximately 1.6 million underlying shares or approximately 49.6% of TGT's average daily trading volume over the past month, of 3.2 million shares. Especially high volume was seen for the $167.50 strike call option expiring October 02, 2026, with 11,450 contracts trading so far today, representing approximately 1.1 million underlying shares of TGT. Below is a chart showing TGT's trailing twelve month trading history, with the $167.50 strike highlighted in orange:
For the various different available expirations for NRG options, MRNA options, or TGT options, visit StockOptionsChannel.com.
Further NRG Research:

Noteworthy Wednesday Option Activity: NRG, MRNA, TGT

The S&P 500 Index ($SPX) (SPY) is up by +0.63% today, the Dow Jones Industrial Average ($DOWI) (DIA) is up by +0.15%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up +0.75%. December E-mini S&P futures (ESZ26) are up +0.55%, and December E-mini Nasdaq futures (NQZ26) are up +0.72%.
Stock indexes are moving higher today as inflation concerns eased after the Q2 core PCE price index was revised lower and the Aug core PCE price index rose less than expected. The better-than-expected inflation news reduced the chance of a Fed rate hike next month to 35% from 52% on Tuesday. Also, signs of growth in the US economy supported stocks after Q2 GDP was revised higher, the Sep ADP employment change rose more than expected, and Aug personal spending rose the most in 5 months. Stocks added to their gains after the Sep MNI Chicago PMI expanded at the strongest pace in 4 months.
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Stocks are awaiting Micron Technology's earnings after the close today to gauge demand for AI spending.
US MBA mortgage applications fell -6.0% in the week ended September 25, with the purchase mortgage sub-index down -4.3% and the refinancing mortgage sub-index down -8.7%. The average 30-year fixed-rate mortgage rose +18 bp to a 2.75-year high of 7.30% from 7.12% the prior week.
The US Sep ADP employment change rose by +90,000, stronger than expectations of +75,000.
US Aug personal spending rose by +0.9% m/m, right on expectations and the largest increase in five months. Aug personal income rose +0.2% m/m, weaker than expectations of +0.5% m/m.
The US Aug core PCE price index, the Fed's preferred inflation gauge, rose +0.2% m/m and +3.0% y/y, weaker than expectations of +0.3% m/m and +3.3% y/y.
US Q2 GDP was revised upward to +2.2% (q/q annualized), stronger than expectations of no change at +1.5%, as Q2 personal consumption was revised upward to +3.8% from the previously reported +3.4%. The Q2 core PCE price index was revised downward to +3.3% from the previously reported +3.6%.
The US Sep MNI Chicago PMI rose +11.7 to 58.8, stronger than expectations of 51.0 and the fastest pace of expansion in four months.
Positive economic news from China supported global growth prospects and boosted stocks. The China Sep manufacturing PMI rose +0.3 to 50.1, right on expectations. The China Sep non-manufacturing PMI rose +1.2 to 50.2, stronger than expectations of 49.2.
Nov WTI crude oil prices (CLX26) are up more than +2% today after Russia announced that it was extending a ban on most diesel exports through October, further tightening theglobal market Russia began its diesel export ban in July after Ukrainian drone and missile attacks damaged Russian refineries. Gains in crude are limited after JPMorgan Chase said Middle East crude exports have rebounded to 17.5 million bpd, or about 98% of pre-war levels, although flows of gasoline, diesel and distillates were at 3 million bpd, or 58% of pre-war levels.
Markets are discounting a 35% chance of a +25 bp Fed rate hike at the next FOMC meeting on October 27-28.
Overseas stock markets are mixed today. The Euro Stoxx 50 is down -0.36%. China's Shanghai Composite closed up +0.318%. Japan's Nikkei-225 Stock Average closed up +1.94%.
Interest Rates
December 10-year T-notes (ZNZ6) are down -3 ticks today. The 10-year T-note yield is up +1.3 bp to 5.268%. Dec T-notes gave up an early advance today and turned lower on stronger-than-expected US economic news, including Q2 GDP, the Sep ADP employment change, and the Sep MNI Chicago PMI. Also, today’s +2% increase in WTI crude oil is raising inflation expectations and is bearish for T-notes. The 10-year breakeven inflation rate rose to a 2-week high of 2.365% today.
T-notes initially moved higher today as inflation concerns eased after the Q2 core PCE price index was revised lower and the Aug core PCE price index rose less than expected. The weaker-than-expected inflation readings reduced the chance of a Fed rate hike next month to 35% from 52%. T-notes also have support from some month- and quarter-end buying by bond fund managers today as they extend duration in their portfolios.
European government bond yields are mixed today. The 10-year German bund yield is down -4.9 bp to 3.577%. The 10-year UK gilt yield is up +0.5 bp to 5.415%.
The German Sep unemployment change rose +12,000, showing a weaker labor market than expectations of 500.
German Aug retail sales rose +1.3% m/m, the largest increase in 14 months but slightly weaker than expectations of +1.5% m/m.
German Sep CPI (EU harmonized) rose +0.6% m/m and +3.3% y/y, stronger than expectations of +0.5% m/m and +3.2% y/y, with the +3.3% y/y gain the largest year-on-year increase in 2.75 years.
UK Q2 GDP was revised upward to +0.5% q/q and +1.4% y/y from the previously reported +0.4% q/q and +1.2% y/y.
Markets are discounting a 28% chance of a +25 bp ECB rate hike at the ECB’s next meeting on October 29.
US Stock Movers
Software stocks are stronger today, supporting gains in the broader market. Atlassian Corp (TEAM) is up more than +3%, and Salesforce (CRM) is up more than +3% to lead gainers in the Dow Jones Industrials. Also, Datadog (DDOG), Adobe Systems (ADBE), Autodesk (ADSK), and Intuit (INTU) are up more than +2%. In addition, Microsoft (MSFT), Palantir Technologies (PLTR), ServiceNow (NOW), and Cadence Design Systems (CDNS) are up more than +1%.
Cybersecurity stocks are strengthening today, providing support to the overall market. Gen Digital (GEN) is up more than +6%, and Okta (OKTA) and Palo Alto Networks (PANW) are up more than +3%. Also, Fortinet (FTNT) and SentinelOne (S) are up more than +2%, and Crowdstrike Holdings (CRWD) and Zscaler (ZS) are up more than +1%.
Hewlett Packard Enterprise (HPE) is up more than +7% to lead gainers in the S&P 500 after raising its fiscal 2027 networking segment revenue growth outlook.
Huntington Ingalls Industries (HII) is up more than +2% after the US Navy awarded the company a $5.1 billion contract for the accomplishment of the USS Harry S. Truman refueling and complex overhaul.
Target (TGT) is up more than +1% after HSBC upgraded the stock to buy from hold with a price target of $190.
Moderna (MRNA) is down more than -7% to lead losers in the S&P 500 after Citigroup downgraded the stock to sell from neutral with a price target of $80.
Cal-Maine Foods (CALM) is down more than -3% after reporting Q1 net sales of $539.6 million, below the consensus of $552.2 million.
Northrup Grumman (NOC) is down more than -3% after losing out to Boeing on the $20 billion contract to build the Navy’s next-generation fighter jet.
Earnings Reports (9/30/2026)
Cal-Maine Foods Inc (CALM), Conagra Brands Inc (CAG), FactSet Research Systems Inc (FDS), Jabil Inc (JBL), Micron Technology Inc (MU), Progress Software Corp (PRGS).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

Stocks Push Higher as Fed Rate Hike Chances Fall

The S&P 500 Index ($SPX) (SPY) is up by +0.34% today, the Dow Jones Industrial Average ($DOWI) (DIA) is up by +0.07%, and the Nasdaq 100 Index ($IUXX) (QQQ) is up +0.52%. December E-mini S&P futures (ESZ26) are up +0.35%, and December E-mini Nasdaq futures (NQZ26) are up +0.52%.
Stock indexes are moving higher today as inflation concerns eased after the Q2 core PCE price index was revised lower and the Aug core PCE price index rose less than expected. The better-than-expected inflation news reduced the chance of a Fed rate hike next month to 35% from 52% on Tuesday. Also, signs of growth in the US economy supported stocks after Q2 GDP was revised higher, the Sep ADP employment change rose more than expected, and Aug personal spending rose the most in 5 months.
Join 200K+ Subscribers: Find out why the midday Barchart Brief newsletter is a must-read for thousands daily.
Stocks are awaiting Micron Technology's earnings after the close today to gauge demand for AI spending.
US MBA mortgage applications fell -6.0% in the week ended September 25, with the purchase mortgage sub-index down -4.3% and the refinancing mortgage sub-index down -8.7%. The average 30-year fixed-rate mortgage rose +18 bp to a 2.75-year high of 7.30% from 7.12% the prior week.
The US Sep ADP employment change rose by +90,000, stronger than expectations of +75,000.
US Aug personal spending rose by +0.9% m/m, right on expectations and the largest increase in five months. Aug personal income rose +0.2% m/m, weaker than expectations of +0.5% m/m.
The US Aug core PCE price index, the Fed's preferred inflation gauge, rose +0.2% m/m and +3.0% y/y, weaker than expectations of +0.3% m/m and +3.3% y/y.
US Q2 GDP was revised upward to +2.2% (q/q annualized), stronger than expectations of no change at +1.5%, as Q2 personal consumption was revised upward to +3.8% from the previously reported +3.4%. The Q2 core PCE price index was revised downward to +3.3% from the previously reported +3.6%.
Positive economic news from China supported global growth prospects and boosted stocks. The China Sep manufacturing PMI rose +0.3 to 50.1, right on expectations. The China Sep non-manufacturing PMI rose +1.2 to 50.2, stronger than expectations of 49.2.
Nov WTI crude oil prices (CLX26) are up more than +1% today after Russia announced that it was extending a ban on most diesel exports through October, further tightening theglobal market Russia began its diesel export ban in July after Ukrainian drone and missile attacks damaged Russian refineries. Gains in crude are limited after JPMorgan Chase said Middle East crude exports have rebounded to 17.5 million bpd, or about 98% of pre-war levels, although flows of gasoline, diesel and distillates were at 3 million bpd, or 58% of pre-war levels.
Markets are discounting a 35% chance of a +25 bp Fed rate hike at the next FOMC meeting on October 27-28.
Overseas stock markets are mixed today. The Euro Stoxx 50 is down -0.36%. China's Shanghai Composite closed up +0.318%. Japan's Nikkei-225 Stock Average closed up +1.94%.
Interest Rates
December 10-year T-notes (ZNZ6) are up +5 ticks today. The 10-year T-note yield is down -2.1 bp to 5.234%. Dec T-notes are moving higher today as inflation concerns eased after the Q2 core PCE price index was revised lower and the Aug core PCE price index rose less than expected. The weaker-than-expected inflation readings reduced the chance of a Fed rate hike next month to 35% from 52%. T-notes also have support from some month- and quarter-end buying by bond fund managers today as they extend duration in their portfolios.
Gains in T-notes are limited after the Sep ADP employment change rose more than expected, a sign of labor market strength that is hawkish for Fed policy. Also, today’s +1% increase in WTI crude oil is raising inflation expectations and is bearish for T-notes.
European government bond yields are moving lower today. The 10-year German bund yield is down -5.6 bp to 3.570%. The 10-year UK gilt yield is down -0.9 bp to 5.401%.
The German Sep unemployment change rose +12,000, showing a weaker labor market than expectations of 500.
German Aug retail sales rose +1.3% m/m, the largest increase in 14 months but slightly weaker than expectations of +1.5% m/m.
German Sep CPI (EU harmonized) rose +0.6% m/m and +3.3% y/y, stronger than expectations of +0.5% m/m and +3.2% y/y, with the +3.3% y/y gain the largest year-on-year increase in 2.75 years.
UK Q2 GDP was revised upward to +0.5% q/q and +1.4% y/y from the previously reported +0.4% q/q and +1.2% y/y.
Markets are discounting a 27% chance of a +25 bp ECB rate hike at the ECB’s next meeting on October 29.
US Stock Movers
Software stocks are stronger today, supporting gains in the broader market. Datadog (DDOG) is up more than +2%, and Salesforce (CRM) is up more than +2% to lead gainers in the Dow Jones Industrials. Also, Adobe Systems (ADBE), Atlassian Corp (TEAM), Autodesk (ADSK), Intuit (INTU), Microsoft (MSFT), Palantir Technologies (PLTR), ServiceNow (NOW), and Workday (WDAY) are up more than +1%.
Cybersecurity stocks are strengthening today, providing support to the overall market. Okta (OKTA) is up more than +2%, and Crowdstrike Holdings (CRWD), Palo Alto Networks (PANW), SentinelOne (S), and Gen Digital (GEN) are up more than +1%.
Hewlett Packard Enterprise (HPE) is up more than +6% to lead gainers in the S&P 500 after raising its fiscal 2027 networking segment revenue growth outlook.
Huntington Ingalls Industries (HII) is up more than +2% after the US Navy awarded the company a $5.1 billion contract for the accomplishment of the USS Harry S. Truman refueling and complex overhaul.
Target (TGT) is up more than +1% after HSBC upgraded the stock to buy from hold with a price target of $190.
Moderna (MRNA) is down more than -6% to lead losers in the S&P 500 after Citigroup downgraded the stock to sell from neutral with a price target of $80.
Cal-Maine Foods (CALM) is down more than -5% after reporting Q1 net sales of $539.6 million, below the consensus of $552.2 million.
Northrup Grumman (NOC) is down more than -3% after losing out to Boeing on the $20 billion contract to build the Navy’s next-generation fighter jet.
Earnings Reports (9/30/2026)
Cal-Maine Foods Inc (CALM), Conagra Brands Inc (CAG), FactSet Research Systems Inc (FDS), Jabil Inc (JBL), Micron Technology Inc (MU), Progress Software Corp (PRGS).
On the date of publication, Rich Asplund did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.

Stocks Climb on Signs of Lower Inflation and Stronger US Growth

Key Points
Target began paying quarterly dividends when it went public 59 years ago. There have been eight U.S. recessions in that time.
The chain has boosted its distributions in each of the last 55 years, covering seven of those economic recessions.
With recent guidance hikes, Target could have a much larger-than-usual dividend hike coming in June next year.
A lot has happened since Target (NYSE: TGT) started paying quarterly dividends near the end of 1967. The country has experienced eight recessions, lasting as little as two months to as long as 18 months. The checks keep coming, and Target has boosted its payout rate for 55 consecutive years.
Can it keep the quarterly distributions coming? How much can you collect in dividend income annually with a $10,000 investment? It's time to take a closer look at what a stake in the mass market retailer can do for you -- and your pocketbook.
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »
It checks out
Time- and recession-tested, Target stock pays out a generous dividend of $1.16 a share every three months. This translates into an annual payout of $4.64 for a current yield of 2.97%. A $10,000 investment should generate $297 a year in passive income over the next 12 months, but the chances are good that it will be marginally higher.
When Target boosted its quarterly dividend rate this summer -- from $1.14 to $1.16 per share -- it marked 55 years of hikes. It will probably do so again next summer. This may not be much of an increase. It's been just $0.02 per share over the last four years, but the hike was much larger in 2021 and again in 2022, when its business was growing at a healthier pace.
Put another way, you will get $1.16 per share over the next three quarters. It should be at least $1.18 per share for next summer's distribution. That means $299 in dividend income over the next 12 months, and potentially more.
Target is crushing the market this year. Store-level comps are moving higher after three years of negative same-store sales. New CEO Michael Fiddelke has hit the ground running -- in the right direction -- with an ambitious turnaround plan.
It will cost money to see his initiatives through, but Target is good for the money. The chain raised its full-year guidance by $0.75 a share this summer. It now expects to earn between $8.25 and $9.25 a share in 2026, excluding the recent one-time gain from tariff refunds. It's going to earn roughly twice as much as it's paying out in dividends this year. With a full year under his leadership belt, I wouldn't be surprised if Fiddelke's next hike in June of next year is substantially higher.
Should you buy stock in Target right now?
Before you buy stock in Target, 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 Target 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 $379,123!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,396,103!*
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*Stock Advisor returns as of September 30, 2026.
Rick Munarriz 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.

Target's Dividend Has Survived 8 Recessions. Here's What $10,000 Earns in Dividend Income Yearly.

Consumers have less disposable income to spend, and that is typically bad news for Target (NYSE: TGT).
Missed Nvidia in 2009? This Rare Signal Is Flashing Again. In 2009, a "Double Down" signal flashed for a little-known chipmaker called Nvidia. For the first time in years, that same "Total Conviction" signal is flashing for a company 1/100th the size of Nvidia. Continue »
*Stock prices used were the afternoon prices of Sept. 24, 2026. The video was published on Sept. 26, 2026.
Should you buy stock in Target right now?
Before you buy stock in Target, 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 Target 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 $373,352!* Or when Nvidia made this list on April 15, 2005... if you invested $1,000 at the time of our recommendation, you’d have $1,406,241!*
Now, it’s worth noting Stock Advisor’s total average return is 933% — a market-crushing outperformance compared to 212% for the S&P 500. Don't miss the latest top 10 list, available with Stock Advisor, and join an investing community built by individual investors for individual investors.
Parkev Tatevosian, CFA 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. Parkev Tatevosian is an affiliate of The Motley Fool and may be compensated for promoting its services. If you choose to subscribe through his link, he will earn some extra money that supports his channel. His opinions remain his own and are unaffected by The Motley Fool.

Target's Management Team Deserves Credit for Accelerating Revenue Growth Amid a Challenging Backdrop

Target (TGT) closed the most recent trading day at $156.43, moving -1.26% from the previous trading session. The stock's change was less than the S&P 500's daily loss of 0.17%. Elsewhere, the Dow lost 0.26%, while the tech-heavy Nasdaq lost 0.09%.
Coming into today, shares of the retailer had lost 1.52% in the past month. In that same time, the Retail-Wholesale sector lost 6.36%, while the S&P 500 lost 0.24%.
Analysts and investors alike will be keeping a close eye on the performance of Target in its upcoming earnings disclosure. The company's earnings per share (EPS) are projected to be $2.05, reflecting a 15.17% increase from the same quarter last year. Meanwhile, the Zacks Consensus Estimate for revenue is projecting net sales of $26.39 billion, up 4.42% from the year-ago period.
Regarding the entire year, the Zacks Consensus Estimates forecast earnings of $10.43 per share and revenue of $110.11 billion, indicating changes of +37.78% and +5.09%, respectively, compared to the previous year.
It's also important for investors to be aware of any recent modifications to analyst estimates for Target. Recent revisions tend to reflect the latest near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. The Zacks Consensus EPS estimate has moved 0.61% higher within the past month. As of now, Target holds a Zacks Rank of #2 (Buy).
Investors should also note Target's current valuation metrics, including its Forward P/E ratio of 15.19. For comparison, its industry has an average Forward P/E of 22.36, which means Target is trading at a discount to the group.
We can also see that TGT currently has a PEG ratio of 2.5. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. The Retail - Discount Stores industry currently had an average PEG ratio of 1.85 as of yesterday's close.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. Currently, this industry holds a Zacks Industry Rank of 27, positioning it in the top 11% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Remember to apply Zacks.com to follow these and more stock-moving metrics during the upcoming trading sessions.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.
See Top Quantum Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
This article originally published on Zacks Investment Research (zacks.com).

Why Target (TGT) Dipped More Than Broader Market Today

Dollar General Corporation DG received a meaningful boost from tariff refunds during the second quarter of fiscal 2026, supporting margin expansion and profitability. The company reported that gross profit as a percentage of sales increased 127 basis points year over year to 32.6%. The improvement stemmed from tariff refunds, lower LIFO provisions and reduced distribution costs. Dollar General estimated that tariff refunds, after related reinvestments, contributed approximately 81 basis points to gross margin expansion during the quarter.
The benefit from tariff refunds also flowed through to operating profitability. Operating profit increased 29.2% year over year to $769.2 million, while operating margin expanded 126 basis points to 6.8%. The company estimated that tariff refunds, after reinvestments, contributed approximately 66 basis points to operating margin growth. Earnings per share increased 33% to $2.48, including an estimated 25 cents benefit from tariff refunds after related reinvestments.
Dollar General directed a substantial portion of the tariff refunds to enhance its customer value proposition. Management noted that the company invested in targeted promotional activities, lower everyday prices and customer-facing initiatives, including increased marketing expenses.
The company received the majority of its expected tariff refunds in the second quarter and does not anticipate a material impact from tariff refunds after related reinvestments in the second half of fiscal 2026. While tariff refunds supported margin expansion during the quarter, Dollar General noted that other operational improvements also contributed to profitability, including supply-chain efficiencies, and progress in shrink and damages.
How Tariff Refunds Are Affecting Walmart and Target
Walmart Inc. WMT is also using tariff refunds as a temporary earnings and margin benefit while directing much of the proceeds back into pricing. In the second quarter of fiscal 2027, Walmart said tariff refunds helped lift gross profit and operating income, with operating income receiving an approximately 750-basis-point net benefit after price investments. Walmart expects to continue prioritizing the remaining tariff refunds toward customer experience and price investments in the second half.
Target Corporation TGT saw an even more pronounced second-quarter fiscal 2026 earnings benefit from tariff refunds. Target recognized $994 million of pretax tariff refunds, which added $752 million to net earnings and $1.65 to earnings per share. Target said the refunds contributed 3.7 percentage points to both gross margin and operating margin in the quarter. Its full-year guidance includes about 90 basis points of operating-margin benefit from second-quarter refunds while excluding any potential future tariff refunds.
How Does Dollar General Stack Up Against Its Industry?
Dollar General has seen its shares advance 8% over the past three months against the industry’s 1.7% decline.
What Does Dollar General’s Current Valuation Suggest?
From a valuation standpoint, Dollar General's forward 12-month price-to-earnings ratio stands at 15.13, lower than the industry’s 27.38. The stock is also trading below its 12-month median level of 16.03.
What Do Earnings Estimates Signal for Dollar General?
The Zacks Consensus Estimate for Dollar General’s earnings per share for the current and next fiscal year has increased by 50 cents and 32 cents to $7.89 and $8.39, respectively, over the past 30 days.
Dollar General currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.
Radical New Technology Could Hand Investors Huge Gains
Quantum Computing is the next technological revolution, and it could be even more advanced than AI.
While some believed the technology was years away, it is already present and moving fast. Large hyperscalers, such as Microsoft, Google, Amazon, Oracle, and even Meta and Tesla, are scrambling to integrate quantum computing into their infrastructure.
Senior Stock Strategist Kevin Cook reveals 7 carefully selected stocks poised to dominate the quantum computing landscape in his report, Beyond AI: The Quantum Leap in Computing Power.
Kevin was among the early experts who recognized NVIDIA's enormous potential back in 2016. Now, he has keyed in on what could be "the next big thing" in quantum computing supremacy. Today, you have a rare chance to position your portfolio at the forefront of this opportunity.
See Top Quantum Stocks Now >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
This article originally published on Zacks Investment Research (zacks.com).