Target Corporation (NYSE:TGT) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research note issued on Monday, May 15th.
According to Zacks, “Target, which has underperformed the industry in the past six months, has been witnessing a downtrend in estimates post fourth-quarter fiscal 2016 results. After three straight quarters of earnings beat, the company succumbed to a negative earnings surprise in the final quarter. Total sales also fell short of expectations, after surpassing the same in the preceding quarter. Moreover, it continues to decline year over year. The sale of the pharmacy and clinic businesses to CVS Health, stiff competition and sluggish traffic impacted the top line. The dismal performance compelled management to provide a bleak outlook for fiscal 2017. Nevertheless, we believe that the initiatives such as the development of omni-channel capacities, diversification and localization of assortments along with emphasis on flexible format stores, bode well. The company intends to launch new brands and will try to be more competitive in terms of price.”
A number of other analysts have also recently weighed in on TGT. Sanford C. Bernstein assumed coverage on shares of Target Corporation in a research report on Monday, February 6th. They set an “outperform” rating and a $77.00 price target for the company. BTIG Research reaffirmed a “buy” rating and set a $77.00 price target (down from $85.00) on shares of Target Corporation in a research report on Thursday, January 19th. Buckingham Research reaffirmed a “buy” rating and set a $71.00 price target on shares of Target Corporation in a research report on Wednesday, April 19th. Barclays PLC decreased their price objective on shares of Target Corporation from $60.00 to $50.00 and set an “underweight” rating for the company in a research report on Wednesday, March 1st. Finally, Stifel Nicolaus initiated coverage on shares of Target Corporation in a research report on Thursday, January 19th. They issued a “hold” rating and a $72.00 price objective for the company. Six research analysts have rated the stock with a sell rating, seventeen have issued a hold rating and eight have given a buy rating to the stock. Target Corporation has an average rating of “Hold” and an average price target of $64.68.
Target Corporation (NYSE:TGT) traded down 5.14% on Monday, hitting $52.61. The stock had a trading volume of 49,491,703 shares. Target Corporation has a one year low of $48.56 and a one year high of $79.33. The company’s 50-day moving average price is $55.81 and its 200 day moving average price is $61.88. The firm has a market cap of $29.03 billion, a price-to-earnings ratio of 10.78 and a beta of 0.58. Target Corporation also saw some unusual options trading activity on Friday. Investors purchased 4,936 call options on the stock. This is an increase of 262% compared to the typical volume of 1,363 call options.
Target Corporation (NYSE:TGT) last announced its quarterly earnings data on Wednesday, May 17th. The retailer reported $1.21 earnings per share (EPS) for the quarter, beating the Thomson Reuters’ consensus estimate of $0.91 by $0.30. Target Corporation had a net margin of 4.02% and a return on equity of 25.17%. The company had revenue of $16.02 billion during the quarter, compared to analysts’ expectations of $15.63 billion. During the same period in the previous year, the company earned $1.29 EPS. The business’s quarterly revenue was down 1.1% compared to the same quarter last year. Analysts expect that Target Corporation will post $4.24 earnings per share for the current year.
The firm also recently announced a quarterly dividend, which will be paid on Sunday, September 10th. Investors of record on Wednesday, August 16th will be issued a dividend of $0.62 per share. This represents a $2.48 dividend on an annualized basis and a yield of 4.71%. This is a boost from Target Corporation’s previous quarterly dividend of $0.60. The ex-dividend date is Monday, August 14th. Target Corporation’s dividend payout ratio (DPR) is presently 48.98%.
Hedge funds have recently modified their holdings of the company. State Street Corp boosted its stake in shares of Target Corporation by 0.3% in the fourth quarter. State Street Corp now owns 51,198,488 shares of the retailer’s stock worth $3,698,062,000 after buying an additional 145,625 shares during the last quarter. BlackRock Inc. increased its stake in shares of Target Corporation by 2,069.0% in the first quarter. BlackRock Inc. now owns 47,046,403 shares of the retailer’s stock valued at $2,596,495,000 after buying an additional 44,877,391 shares during the period. Dodge & Cox purchased a new stake in shares of Target Corporation during the fourth quarter valued at approximately $788,237,000. Barrow Hanley Mewhinney & Strauss LLC increased its stake in shares of Target Corporation by 14.2% in the first quarter. Barrow Hanley Mewhinney & Strauss LLC now owns 10,307,951 shares of the retailer’s stock valued at $568,896,000 after buying an additional 1,279,077 shares during the period. Finally, Bank of New York Mellon Corp increased its stake in shares of Target Corporation by 11.6% in the first quarter. Bank of New York Mellon Corp now owns 9,555,703 shares of the retailer’s stock valued at $527,380,000 after buying an additional 996,689 shares during the period. Hedge funds and other institutional investors own 83.05% of the company’s stock.
Target Corporation Company Profile
Target Corporation (Target) is a general merchandise retailer selling products through its stores and digital channels. Its general merchandise stores offer an edited food assortment, including perishables, dry grocery, dairy and frozen items. Its digital channels include a range of general merchandise, including a range of items found in its stores, along with an assortment, such as additional sizes and colors sold only online.
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