Target (NYSE:TGT) Rating Lowered to Hold at Zacks Research

Target (NYSE:TGT) was downgraded by Zacks Research from a “strong-buy” rating to a “hold” rating in a research report issued on Wednesday,Zacks.com reports.

A number of other brokerages have also recently issued reports on TGT. DA Davidson raised their target price on shares of Target from $170.00 to $185.00 and gave the stock a “buy” rating in a report on Wednesday. Piper Sandler raised their target price on Target from $146.00 to $153.00 and gave the company a “neutral” rating in a research report on Thursday. Argus set a $150.00 price objective on shares of Target in a research note on Friday, May 22nd. TD Cowen upped their price target on shares of Target from $155.00 to $160.00 and gave the stock a “hold” rating in a research note on Thursday. Finally, Guggenheim lifted their price target on Target from $150.00 to $175.00 and gave the company a “buy” rating in a research report on Thursday. Eleven equities research analysts have rated the stock with a Buy rating, eighteen have given a Hold rating and three have assigned a Sell rating to the company. Based on data from MarketBeat.com, Target presently has a consensus rating of “Hold” and an average price target of $159.52.

Target Stock Down 0.6%

Shares of NYSE TGT opened at $158.04 on Wednesday. The stock has a fifty day moving average price of $140.21 and a 200 day moving average price of $127.75. The company has a market cap of $71.78 billion, a P/E ratio of 16.41, a P/E/G ratio of 2.09 and a beta of 0.97. Target has a 12-month low of $83.44 and a 12-month high of $161.98. The company has a current ratio of 0.99, a quick ratio of 0.30 and a debt-to-equity ratio of 0.80.

Target (NYSE:TGT) last issued its quarterly earnings data on Wednesday, August 19th. The retailer reported $4.11 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.35 by $1.76. Target had a net margin of 4.08% and a return on equity of 23.23%. The company had revenue of $26.54 billion during the quarter, compared to the consensus estimate of $26.13 billion. During the same quarter last year, the company earned $2.05 earnings per share. Target’s revenue for the quarter was up 5.3% on a year-over-year basis. Target has set its FY 2026 guidance at 9.900-10.900 EPS. Research analysts anticipate that Target will post 10.4 EPS for the current fiscal year.

Insider Buying and Selling

In related news, insider Cara A. Sylvester sold 10,000 shares of the firm’s stock in a transaction that occurred on Friday, May 29th. The shares were sold at an average price of $125.89, for a total value of $1,258,900.00. Following the completion of the transaction, the insider owned 45,930 shares of the company’s stock, valued at approximately $5,782,127.70. This trade represents a 17.88% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Corporate insiders own 0.13% of the company’s stock.

Institutional Trading of Target

Hedge funds and other institutional investors have recently modified their holdings of the business. WFA of San Diego LLC purchased a new stake in Target in the 2nd quarter worth about $25,000. Jessup Wealth Management Inc acquired a new position in shares of Target in the 4th quarter valued at about $25,000. Richardson Financial Services Inc. acquired a new position in shares of Target in the 2nd quarter valued at about $26,000. Kimelman & Baird LLC purchased a new stake in shares of Target in the second quarter worth approximately $26,000. Finally, Altshuler Shaham Ltd purchased a new stake in shares of Target in the fourth quarter worth approximately $26,000. Institutional investors and hedge funds own 79.73% of the company’s stock.

Key Stories Impacting Target

Here are the key news stories impacting Target this week:

• Positive Sentiment: Q2 earnings and sales beat expectations. Target reported $26.54 billion in revenue, up 5.3% year over year and above the $26.13 billion consensus estimate. Reported EPS was $4.11 versus expectations of $2.35, while adjusted EPS was reported by some analysts at $2.46 versus a $2.30 estimate. Target Q2 earnings report
• Positive Sentiment: Consumer engagement improved. Guest traffic increased 3.6%, comparable sales rose 3.8%, and digital activity—including traffic from artificial-intelligence platforms—helped support stronger sales. Management also cited merchandising resets and improved execution as evidence that its turnaround is gaining traction. Target traffic and sales article
• Positive Sentiment: Target raised its fiscal 2026 guidance. The company increased its sales and earnings outlook, with current guidance calling for EPS of $9.90 to $10.90. Several analysts followed with higher price targets: RBC raised its target to $178 and maintained an outperform rating, while Citigroup and TD Cowen lifted targets to $160 but retained neutral or hold ratings.
• Neutral Sentiment: Analyst opinion remains mixed. The higher targets indicate improving confidence in the turnaround, but neutral, hold and sector-weight ratings suggest Wall Street believes much of the recovery may already be reflected in the shares.
• Negative Sentiment: Profit gains were partly boosted by a one-time benefit. A roughly $994 million tariff refund significantly increased quarterly profitability, raising questions about how sustainable the EPS improvement will be once that benefit fades. Target tariff refund analysis
• Negative Sentiment: Valuation and execution risks could limit further upside. With shares near their annual high and trading at approximately 16.4 times earnings, investors may demand continued sales, traffic and margin improvement. The elevated valuation leaves less room for disappointment if the turnaround loses momentum.

About Target

Target Corporation (NYSE: TGT) is a U.S.-based general merchandise retailer headquartered in Minneapolis, Minnesota. The company operates a network of full-line and small-format stores across the United States alongside a national e-commerce platform and mobile app. Target’s retail assortment spans apparel, home goods, electronics, groceries and household essentials, plus beauty, baby and pet categories. The firm complements national brands with a portfolio of owned and exclusive labels and partnerships that help differentiate its merchandise assortment.

Target traces its roots to the Dayton Company, founded by George Dayton in 1902; the Target discount chain was launched in 1962 and the parent company later adopted the Target Corporation name.