Will Target’s Earnings per Share Return to Growth in Fiscal 2018?
Target’s (TGT) EPS (earnings per share) have been falling YoY (year-over-year) over the past several quarters, reflecting pressure on margins from increased price investments and higher digital fulfillment costs associated with growing e-commerce sales. Target expects its bottom line to benefit from improved sales and higher productivity from new and remodeled stores. Also, a decline in the corporate tax rate, share repurchases, and favorable YoY comparisons should drive the company’s earnings higher.