We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
Target (TGT) Gains But Lags Market: What You Should Know
Read MoreHide Full Article
Target (TGT - Free Report) closed the most recent trading day at $220.43, moving +1.27% from the previous trading session. This change lagged the S&P 500's 1.89% gain on the day. At the same time, the Dow added 1.17%, and the tech-heavy Nasdaq gained 0.73%.
Prior to today's trading, shares of the retailer had lost 5.95% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 11.09% and the S&P 500's loss of 7.36% in that time.
Investors will be hoping for strength from Target as it approaches its next earnings release. In that report, analysts expect Target to post earnings of $2.85 per share. This would mark year-over-year growth of 6.74%. Meanwhile, our latest consensus estimate is calling for revenue of $31.53 billion, up 11.27% from the prior-year quarter.
TGT's full-year Zacks Consensus Estimates are calling for earnings of $13.20 per share and revenue of $106.52 billion. These results would represent year-over-year changes of +40.13% and +13.86%, respectively.
It is also important to note the recent changes 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 company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.03% higher. Target is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Target is currently trading at a Forward P/E ratio of 16.49. Its industry sports an average Forward P/E of 21.58, so we one might conclude that Target is trading at a discount comparatively.
Meanwhile, TGT's PEG ratio is currently 1.15. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Discount Stores industry currently had an average PEG ratio of 1.89 as of yesterday's close.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 32% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
See More Zacks Research for These Tickers
Normally $25 each - click below to receive one report FREE:
Image: Bigstock
Target (TGT) Gains But Lags Market: What You Should Know
Target (TGT - Free Report) closed the most recent trading day at $220.43, moving +1.27% from the previous trading session. This change lagged the S&P 500's 1.89% gain on the day. At the same time, the Dow added 1.17%, and the tech-heavy Nasdaq gained 0.73%.
Prior to today's trading, shares of the retailer had lost 5.95% over the past month. This has was narrower than the Retail-Wholesale sector's loss of 11.09% and the S&P 500's loss of 7.36% in that time.
Investors will be hoping for strength from Target as it approaches its next earnings release. In that report, analysts expect Target to post earnings of $2.85 per share. This would mark year-over-year growth of 6.74%. Meanwhile, our latest consensus estimate is calling for revenue of $31.53 billion, up 11.27% from the prior-year quarter.
TGT's full-year Zacks Consensus Estimates are calling for earnings of $13.20 per share and revenue of $106.52 billion. These results would represent year-over-year changes of +40.13% and +13.86%, respectively.
It is also important to note the recent changes 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 company's business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. 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.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate has moved 0.03% higher. Target is holding a Zacks Rank of #3 (Hold) right now.
In terms of valuation, Target is currently trading at a Forward P/E ratio of 16.49. Its industry sports an average Forward P/E of 21.58, so we one might conclude that Target is trading at a discount comparatively.
Meanwhile, TGT's PEG ratio is currently 1.15. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Retail - Discount Stores industry currently had an average PEG ratio of 1.89 as of yesterday's close.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry currently has a Zacks Industry Rank of 174, which puts it in the bottom 32% 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.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.