Target Earnings: Here’s Why the Stock is Down Now
Target Corp. (NYSE:TGT) delivered a profit and missed Wall Street’s expectations, AND came up short on beating the revenue expectation. The revenue miss is a negative sign to shareholders seeking high growth out of the company. Shares are down 1.85%.
Target Corp. Earnings Cheat Sheet
Results: Adjusted Earnings Per Share decreased 10.38% to $0.95 in the quarter versus EPS of $1.06 in the year-earlier quarter.
Revenue: Rose 2.01% to $17.12 billion from the year-earlier quarter.
Actual vs. Wall St. Expectations: Target Corp. reported adjusted EPS income of $0.95 per share. By that measure, the company missed the mean analyst estimate of $0.96. It missed the average revenue estimate of $17.26 billion.
Quoting Management: “Target’s second quarter financial results benefited from disciplined execution of our strategy and strong expense control, offsetting softer-than-expected sales,” said Gregg Steinhafel, chairman, president, and chief executive officer of Target Corporation. “For the balance of this year, our U.S. outlook envisions continued cautious spending by consumers in the face of ongoing household budget pressures. In Canada, where we are only five months into our market launch, we continue to learn, adjust and refine operations in our existing stores as we prepare to open another 56 stores by year-end.”
Key Stats (on next page)…