What to Expect When Target Reports Earnings

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Target Corp. (NYSE: TGT) is scheduled to release its most recent quarterly results before the markets open on Wednesday. The consensus estimates from Thomson Reuters call for $0.86 in earnings per share (EPS) and $16.6 billion in revenue. The fiscal third quarter of last year reportedly had EPS of $1.04 and $16.44 billion in revenue.

Target’s stock has had a rough year so far, with shares down about 16% in 2017 alone. However, in just the past quarter, shares are up 11%, and a strong report here and in the holiday season could make all the difference.

The holiday season is still a little ways away, but some are jumping the gun, putting up Christmas lights before Halloween, and offering up holiday deals ahead of time. Target made its intentions for the holiday season known very early when the retailer announced that it would be offering more sales and even more of its exclusive brands through its marketing campaign, “Together’s the Joy.”

Target unveiled these holiday plans earlier in October. The plans include new brands, thousands of exclusive gifts under $15, easy and convenient ways to shop and save, and festive in-store experiences.

Previously, the retailer shared that it is reimagining its brand portfolio with the introduction of more than 12 new exclusive brands by the end of 2018. Eight of those brands — spanning baby, kids, women and men’s apparel and accessories and home — will be available for the first time this holiday season.

Target is introducing what it believes to be a foolproof way of gift giving — GiftNow — on its website. This service allows gift givers to click the GiftNow button on products on Target.com and send an e-gift box, which allows the recipient to accept the gift, change the color or size, or choose something entirely different, all before anything ships.

Here’s what analysts were saying about Target ahead of the report:

  • Wells Fargo has a Market Perform rating with a $62 price target.
  • Stifel has a Hold rating with a $60 price target.
  • MKM Partners has a Buy rating with an $85 price target.
  • BMO Capital Markets has a Market Weight rating.
  • Jefferies has a Hold rating.

Shares of Target were last seen at $59.75, with a consensus analyst price target of $60.48 and a 52-week range of $48.56 to $79.33.