What Analysts Think of Target Stock Ahead of Earnings | Global News Avenue

Target(TGT) is due to report third-quarter results before the market opens on Wednesday, with analysts expecting modest gains in revenue and profit as the market seeks insights into consumer spending ahead of the holiday season.

Analysts are bullish on Target stock, with 10 “Buy” rating Six of the 16 analysts tracked by Visible Alpha have a “hold” rating. average price target The price of $179.94 is about 15% higher than Target’s Monday closing price of $156.56, and all but one company has price targets above the stock’s current levels.

Analysts expect Target to report third-quarter results income It rose nearly 2% to $25.89 billion, up from $25.4 billion a year earlier, according to estimates compiled by Visible Alpha. profit Expected to rise to $1.05 billion, or $2.28 per shareup from $971 million and $2.10 per share.

Target shares were down less than 1% after the open on Tuesday, but are up about 9% so far this year.

Analysts look for value to drive results

While Target “has not historically benefited from the same value proposition as its large, generalized peers such as Walmart,” analysts at Bank of America wrote in a recent report (WMT) and Costco Wholesale (cost), the retailer’s recent focus on value puts it well-positioned to gain market share.

Earlier this year, Target Announcing price reduction plan The company launched thousands of popular products over the summer and last month announced a schedule of daily and weekly deals during the holiday shopping season. and Walmart beats expectations In Tuesday’s earnings report, The market will pay attention Target and other retailers this week reported indicators of the health of U.S. consumers ahead of the holidays.

administrative staff stated during the earnings call Earlier this year, consumers hit by inflation had moved away from discretionary spending and in some cases completely away from the targetleading retailers to lower prices in an attempt to win back these customers. Target said last quarter Discretionary spending trends “continue to improve significantly” with growth in categories such as apparel and beauty sales.