Yahoo Finance Target (TGT) Stock Drops Despite Market Gains: Important Facts to Note
Target (TGT) closed at $146.72 in the latest trading session, marking a -0.31% move from the prior day. The stock fell short of the S&P 500, which registered a gain of 0.09% for the day. Meanwhile, the Dow experienced a rise of 0.09%, and the technology-dominated Nasdaq saw an increase of 0.3%.
The the stock of retailer has fallen by 0.39% in the past month, lagging the Retail-Wholesale sector's gain of 1.99% and the S&P 500's gain of 3.38%.
Market participants will be closely following the financial results of Target in its upcoming release. The company's earnings per share (EPS) are projected to be $2.17, reflecting a 20.56% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $25.2 billion, indicating a 1.74% upward movement from the same quarter last year.
TGT's full-year Zacks Consensus Estimates are calling for earnings of $9.32 per share and revenue of $106.88 billion. These results would represent year-over-year changes of +4.25% and -0.5%, respectively.
Investors should also take note of any recent adjustments to analyst estimates for Target. These recent revisions tend to reflect the evolving nature of short-term business trends. Therefore, positive revisions in estimates convey analysts' confidence in the company's business performance and profit potential.
Our research shows that these estimate changes are directly correlated with near-term stock prices. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection has moved 0.01% lower. Target is currently sporting a Zacks Rank of #3 (Hold).
Investors should also note Target's current valuation metrics, including its Forward P/E ratio of 15.79. This indicates a discount in contrast to its industry's Forward P/E of 21.41.
We can additionally observe that TGT currently boasts a PEG ratio of 1.38. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. As of the close of trade yesterday, the Retail - Discount Stores industry held an average PEG ratio of 2.54.
The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This industry, currently bearing a Zacks Industry Rank of 162, finds itself in the bottom 36% echelons of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Keep in mind to rely on Zacks.com to watch all these stock-impacting metrics, and more, in the succeeding trading sessions.
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Target Corporation (TGT) : Free Stock Analysis Report
