Target (TGT) Upgraded at Zacks Investment Research
Zacks Investment Research upgraded shares of Target (NYSE:TGT) from a hold rating to a buy rating in a research note issued to investors on Tuesday. Zacks Investment Research currently has $91.00 target price on the retailer’s stock.
According to Zacks, “Target is trying all means to rapidly adapt to the changing retail ecosystem. The company is deploying resources to enhance omni-channel capacities, come up with new brands, remodel or refurbish stores and expand same-day delivery options to expedite the shopping process. All these bode well for the stock that has outpaced the industry in the past three months and continued with its upbeat top-line performance in first-quarter fiscal 2018 as well. However, bottom line missed the consensus mark for the second quarter in row but managed to score year-over-year growth, despite rise in cost of sales and SG&A expenses. Analysts pointed that incremental investments, higher wages and rise in costs due to new fulfillment options may weigh on margins to an extent. Nevertheless, it is better to face short-term impediments in order to attain the long-term goals. Meanwhile, Target maintained its fiscal 2018 view, which looks quite encouraging.”
TGT has been the topic of several other reports. ValuEngine raised Target from a hold rating to a buy rating in a report on Monday, May 14th. MKM Partners set a $91.00 target price on Target and gave the stock a buy rating in a report on Tuesday, June 5th. Wolfe Research raised Target from a market perform rating to an outperform rating in a report on Wednesday, May 16th. Credit Suisse Group set a $86.00 target price on Target and gave the stock a buy rating in a report on Monday, June 4th. Finally, Guggenheim reaffirmed a hold rating on shares of Target in a report on Wednesday, May 23rd. One analyst has rated the stock with a sell rating, twelve have given a hold rating, ten have given a buy rating and one has given a strong buy rating to the company. The company has an average rating of Hold and a consensus price target of $75.76.
Target (NYSE:TGT) last posted its earnings results on Wednesday, May 23rd. The retailer reported $1.32 EPS for the quarter, missing the consensus estimate of $1.38 by ($0.06). The company had revenue of $16.78 billion for the quarter, compared to analyst estimates of $16.58 billion. Target had a return on equity of 23.34% and a net margin of 4.09%. The firm’s revenue was up 3.4% on a year-over-year basis. During the same period last year, the business earned $1.21 earnings per share. equities analysts expect that Target will post 5.28 EPS for the current year.
The firm also recently disclosed a quarterly dividend, which will be paid on Monday, September 10th. Shareholders of record on Wednesday, August 15th will be issued a $0.64 dividend. This is a positive change from Target’s previous quarterly dividend of $0.62. This represents a $2.56 annualized dividend and a yield of 3.10%. The ex-dividend date of this dividend is Tuesday, August 14th. Target’s dividend payout ratio (DPR) is presently 52.65%.
In other news, insider Janna A. Potts sold 5,152 shares of the firm’s stock in a transaction that occurred on Monday, June 4th. The stock was sold at an average price of $75.00, for a total value of $386,400.00. Following the transaction, the insider now owns 22,304 shares in the company, valued at $1,672,800. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, insider Don H. Liu sold 2,735 shares of the firm’s stock in a transaction that occurred on Wednesday, May 16th. The shares were sold at an average price of $75.00, for a total value of $205,125.00. Following the completion of the transaction, the insider now owns 62,210 shares in the company, valued at approximately $4,665,750. The disclosure for this sale can be found here. Over the last three months, insiders sold 51,813 shares of company stock worth $4,076,175. 0.19% of the stock is owned by corporate insiders.
Several hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Highstreet Asset Management Inc. lifted its position in shares of Target by 2.6% in the second quarter. Highstreet Asset Management Inc. now owns 38,835 shares of the retailer’s stock valued at $2,956,000 after acquiring an additional 980 shares in the last quarter. Camden National Bank lifted its position in shares of Target by 6.7% in the second quarter. Camden National Bank now owns 70,797 shares of the retailer’s stock valued at $5,389,000 after acquiring an additional 4,436 shares in the last quarter. Hartford Financial Management Inc. purchased a new position in shares of Target in the second quarter valued at approximately $1,205,000. Neuburgh Advisers LLC lifted its position in shares of Target by 38.8% in the second quarter. Neuburgh Advisers LLC now owns 130,240 shares of the retailer’s stock valued at $9,914,000 after acquiring an additional 36,384 shares in the last quarter. Finally, MUFG Americas Holdings Corp lifted its position in shares of Target by 15.4% in the second quarter. MUFG Americas Holdings Corp now owns 154,146 shares of the retailer’s stock valued at $11,734,000 after acquiring an additional 20,561 shares in the last quarter. Institutional investors and hedge funds own 85.44% of the company’s stock.
Target Company Profile
Target Corporation operates as a general merchandise retailer in the United States. The company offers beauty and household essentials, including beauty products, personal and baby care products, cleaning products, paper products, and pet supplies; food and beverage products, such as dry grocery, dairy, frozen food, beverage, candy, snacks, deli, bakery, meat, and produce products; and apparel for women, men, boys, girls, toddlers, infants, and newborns, as well as intimate apparel, jewelry, accessories, and shoes.
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