What to Expect from Target Stock
Target is showing a strong uptrend as better-than-expected holiday sales, improving fundamentals, and an anticipated increase in its EPS in fiscal 2018 have led analysts to raise their target price on the stock.
Target’s earnings are expected to return to a growth trajectory thanks to the improvement in sales.
Despite pressure on margins, the company’s management remains upbeat and expects its EPS to stabilize in fiscal 2018.
Target’s top line is expected to benefit from its booming digital business, which is growing at a brisk pace and meaningfully contributing to its growth.
On Wednesday, Baird upgraded Target (TGT) to “outperform” from “neutral” and raised its price target by approximately 13% to $85 per share.
About 48% of the 33 analysts covering Walmart stock have recommended a “buy” for the stock, and 52% have recommended a “hold.”
Three of the nation’s largest mass merchandisers—Walmart (WMT), Costco (COST), and Target (TGT)—continue to invest in price to drive store traffic.
Walmart (WMT) expects its e-commerce business to generate sales of $11.5 billion in fiscal 2018.
Walmart’s (WMT) focus on strengthening its e-commerce business and increasing store traffic has helped it report improved sales over the past several quarters.
Analysts expect Walmart to report adjusted EPS of $1.37, a 5.4% rise YoY. It has improved its earnings in the first three quarters of the current fiscal year.
Walmart (WMT) is set to report its fiscal 4Q18 results on February 20, 2018. Analysts expect its top and bottom lines to improve.
Most analysts maintain a positive view on Costco (COST) stock. The company is expected to continue to generate an industry-leading sales growth rate despite increased competition.
Target (TGT) stock is up about 12.3% on a YTD (year-to-date) basis as of February 7, 2018, and has outperformed its peers.
Walmart (WMT) is pushing hard to gain a stake in India’s leading e-commerce company, Fipkart.com.
Costco continues to amaze investors with its sales growth rate, especially given that Wall Street pundits believed that the company would lose market share in light of increased competition.
In a recent development, the Economic Times reported that Walmart might acquire a “significant minority stake” (15%–20%) in India’s biggest e-commerce company, Flipkart.
Walmart has rolled out several customer-friendly initiatives aimed at saving time and money that have bolstered the company’s top-line performance and helped its earnings to return to growth.
Walmart (WMT) is trading at record highs thanks to its healthy sales growth and its ability to maintain market share despite heightened competition in the grocery space.
Costco (COST) stock rose about 2.1% on January 11, 2018, following Walmart’s (WMT) announcement that it would close 63 Sam’s Club facilities in the US (SPY).
Thanks to the recently enacted tax reform bill, retailers who were in the highest tax bracket and had more exposure to the domestic market will now have additional cash on hand.