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TGT

Target NYSE:TGT Stock Report

Last Price

US$144.52

Market Cap

US$69.4b

7D

-0.1%

1Y

-40.2%

Updated

28 Jun, 2022

Data

Company Financials +
TGT fundamental analysis
Snowflake Score
Valuation4/6
Future Growth2/6
Past Performance2/6
Financial Health2/6
Dividends5/6

TGT Stock Overview

Target Corporation operates as a general merchandise retailer in the United States.

Target Competitors

Price History & Performance

Summary of all time highs, changes and price drops for Target
Historical stock prices
Current Share PriceUS$144.52
52 Week HighUS$268.98
52 Week LowUS$138.58
Beta0.97
1 Month Change-13.53%
3 Month Change-34.89%
1 Year Change-40.24%
3 Year Change66.04%
5 Year Change174.49%
Change since IPO2,573.20%

Recent News & Updates

Jun 27
Target's (NYSE:TGT) Dividend Will Be Increased To US$1.08

Target's (NYSE:TGT) Dividend Will Be Increased To US$1.08

The board of Target Corporation ( NYSE:TGT ) has announced that the dividend on 10th of September will be increased to...

Jun 20

As Target Drops, Dividend Hunters Should Rejoice

Target's share price has plummeted since the company reported disappointing Q1 earnings. Target's recent dividend hike brings the stock's yield to one of its highest points ever. Dividend investors should consider buying the stock at these prices to secure a safe, growing income stream.

Jun 12
Target's (NYSE:TGT) Upcoming Dividend Will Be Larger Than Last Year's

Target's (NYSE:TGT) Upcoming Dividend Will Be Larger Than Last Year's

The board of Target Corporation ( NYSE:TGT ) has announced that it will be increasing its dividend on the 10th of...

Shareholder Returns

TGTUS Multiline RetailUS Market
7D-0.1%-0.5%1.7%
1Y-40.2%-16.8%-20.4%

Return vs Industry: TGT underperformed the US Multiline Retail industry which returned -14.4% over the past year.

Return vs Market: TGT underperformed the US Market which returned -18.8% over the past year.

Price Volatility

Is TGT's price volatile compared to industry and market?
TGT volatility
TGT Average Weekly Movement9.0%
Multiline Retail Industry Average Movement10.0%
Market Average Movement8.0%
10% most volatile stocks in US Market16.8%
10% least volatile stocks in US Market3.2%

Stable Share Price: TGT is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 9% a week.

Volatility Over Time: TGT's weekly volatility (9%) has been stable over the past year.

About the Company

FoundedEmployeesCEOWebsite
1902450,000Brian Cornellhttps://corporate.target.com

Target Corporation operates as a general merchandise retailer in the United States. The company offers food assortments, including perishables, dry grocery, dairy, and frozen items; apparel, accessories, home décor products, electronics, toys, seasonal offerings, food, and other merchandise; and beauty and household essentials. It also provides in-store amenities, such as Target Café, Target Optical, Starbucks, and other food service offerings.

Target Fundamentals Summary

How do Target's earnings and revenue compare to its market cap?
TGT fundamental statistics
Market CapUS$69.37b
Earnings (TTM)US$5.86b
Revenue (TTM)US$106.98b

11.4x

P/E Ratio

0.6x

P/S Ratio

Earnings & Revenue

Key profitability statistics from the latest earnings report
TGT income statement (TTM)
RevenueUS$106.98b
Cost of RevenueUS$76.71b
Gross ProfitUS$30.27b
Other ExpensesUS$24.41b
EarningsUS$5.86b

Last Reported Earnings

Apr 30, 2022

Next Earnings Date

Aug 17, 2022

Earnings per share (EPS)12.63
Gross Margin28.30%
Net Profit Margin5.48%
Debt/Equity Ratio134.5%

How did TGT perform over the long term?

See historical performance and comparison

Dividends

2.5%

Current Dividend Yield

28%

Payout Ratio

Does TGT pay a reliable dividends?

See TGT dividend history and benchmarks
When do you need to buy TGT by to receive an upcoming dividend?
Target dividend dates
Ex Dividend DateAug 16 2022
Dividend Pay DateSep 10 2022
Days until Ex dividend48 days
Days until Dividend pay date73 days

Does TGT pay a reliable dividends?

See TGT dividend history and benchmarks
We’ve recently updated our valuation analysis.

Valuation

Is TGT undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

4/6

Valuation Score 4/6

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Below Fair Value

  • Significantly Below Fair Value

  • PEG Ratio

Key Valuation Metric

Which metric is best to use when looking at relative valuation for TGT?

Other financial metrics that can be useful for relative valuation.

TGT key valuation metrics and ratios. From Price to Earnings, Price to Sales and Price to Book to Price to Earnings Growth Ratio, Enterprise Value and EBITDA.
Key Statistics
Enterprise Value/Revenue0.8x
Enterprise Value/EBITDA8x
PEG Ratio1x

Price to Earnings Ratio vs Peers

How does TGT's PE Ratio compare to its peers?

TGT PE Ratio vs Peers
The above table shows the PE ratio for TGT vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyPEEstimated GrowthMarket Cap
Peer Average26.6x
DG Dollar General
24.3x7.4%US$56.0b
DLTR Dollar Tree
23.1x8.5%US$35.3b
OLLI Ollie's Bargain Outlet Holdings
32x27.7%US$3.7b
MNSO MINISO Group Holding
26.7x41.2%US$2.7b
TGT Target
11.4x11.3%US$69.4b

Price-To-Earnings vs Peers: TGT is good value based on its Price-To-Earnings Ratio (11.4x) compared to the peer average (26.6x).


Price to Earnings Ratio vs Industry

How does TGT's PE Ratio compare vs other companies in the Global Multiline Retail Industry?

Price-To-Earnings vs Industry: TGT is expensive based on its Price-To-Earnings Ratio (11.4x) compared to the US Multiline Retail industry average (10.9x)


Price to Earnings Ratio vs Fair Ratio

What is TGT's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

TGT PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio11.4x
Fair PE Ratio20.7x

Price-To-Earnings vs Fair Ratio: TGT is good value based on its Price-To-Earnings Ratio (11.4x) compared to the estimated Fair Price-To-Earnings Ratio (20.7x).


Share Price vs Fair Value

What is the Fair Price of TGT when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: TGT ($144.52) is trading below our estimate of fair value ($400.53)

Significantly Below Fair Value: TGT is trading below fair value by more than 20%.


Price to Earnings Growth Ratio

PEG Ratio: TGT is poor value based on its PEG Ratio (1x)


Discover undervalued companies

Future Growth

How is Target forecast to perform in the next 1 to 3 years based on estimates from 21 analysts?

Future Growth Score

2/6

Future Growth Score 2/6

  • Earnings vs Savings Rate

  • Earnings vs Market

  • High Growth Earnings

  • Revenue vs Market

  • High Growth Revenue

  • Future ROE


11.3%

Forecasted annual earnings growth

Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: TGT's forecast earnings growth (11.3% per year) is above the savings rate (1.9%).

Earnings vs Market: TGT's earnings (11.3% per year) are forecast to grow slower than the US market (13.8% per year).

High Growth Earnings: TGT's earnings are forecast to grow, but not significantly.

Revenue vs Market: TGT's revenue (3.6% per year) is forecast to grow slower than the US market (8.3% per year).

High Growth Revenue: TGT's revenue (3.6% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: TGT's Return on Equity is forecast to be very high in 3 years time (44.8%).


Discover growth companies

Past Performance

How has Target performed over the past 5 years?

Past Performance Score

2/6

Past Performance Score 2/6

  • Quality Earnings

  • Growing Profit Margin

  • Earnings Trend

  • Accelerating Growth

  • Earnings vs Industry

  • High ROE


20.6%

Historical annual earnings growth

Earnings and Revenue History

Quality Earnings: TGT has high quality earnings.

Growing Profit Margin: TGT's current net profit margins (5.5%) are lower than last year (6.3%).


Past Earnings Growth Analysis

Earnings Trend: TGT's earnings have grown significantly by 20.6% per year over the past 5 years.

Accelerating Growth: TGT's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: TGT had negative earnings growth (-4.9%) over the past year, making it difficult to compare to the Multiline Retail industry average (-4.9%).


Return on Equity

High ROE: Whilst TGT's Return on Equity (54.37%) is outstanding, this metric is skewed due to their high level of debt.


Discover strong past performing companies

Financial Health

How is Target's financial position?

Financial Health Score

2/6

Financial Health Score 2/6

  • Short Term Liabilities

  • Long Term Liabilities

  • Debt Level

  • Reducing Debt

  • Debt Coverage

  • Interest Coverage

Financial Position Analysis

Short Term Liabilities: TGT's short term assets ($18.0B) do not cover its short term liabilities ($20.7B).

Long Term Liabilities: TGT's short term assets ($18.0B) do not cover its long term liabilities ($19.3B).


Debt to Equity History and Analysis

Debt Level: TGT's net debt to equity ratio (123.8%) is considered high.

Reducing Debt: TGT's debt to equity ratio has increased from 116% to 134.5% over the past 5 years.

Debt Coverage: TGT's debt is well covered by operating cash flow (42%).

Interest Coverage: TGT's interest payments on its debt are well covered by EBIT (18.9x coverage).


Balance Sheet


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Dividend

What is Target current dividend yield, its reliability and sustainability?

Dividend Score

5/6

Dividend Score 5/6

  • Notable Dividend

  • High Dividend

  • Stable Dividend

  • Growing Dividend

  • Earnings Coverage

  • Future Dividend Coverage


2.49%

Current Dividend Yield

Upcoming Dividend Payment

TodayJun 29 2022Ex Dividend DateAug 16 2022Dividend Pay DateSep 10 202225 days from Ex DividendBuy in the next 48 days to receive the upcoming dividend

Dividend Yield vs Market

Notable Dividend: TGT's dividend (2.49%) is higher than the bottom 25% of dividend payers in the US market (1.57%).

High Dividend: TGT's dividend (2.49%) is low compared to the top 25% of dividend payers in the US market (4.25%).


Stability and Growth of Payments

Stable Dividend: TGT's dividends per share have been stable in the past 10 years.

Growing Dividend: TGT's dividend payments have increased over the past 10 years.


Earnings Payout to Shareholders

Earnings Coverage: With its reasonably low payout ratio (27.7%), TGT's dividend payments are well covered by earnings.


Cash Payout to Shareholders

Cash Flow Coverage: At its current cash payout ratio (78.2%), TGT's dividend payments are covered by cash flows.


Discover strong dividend paying companies

Management

How experienced are the management team and are they aligned to shareholders interests?

3.4yrs

Average management tenure


CEO

Brian Cornell (62 yo)

7.83yrs

Tenure

US$19,758,766

Compensation

Mr. Brian C. Cornell has been Non-Executive Chairman and Independent Director of Yum! Brands, Inc. since November 16, 2018 and September 18, 2015 respectively. He has been the Chairman and Chief Executive...


CEO Compensation Analysis

Compensation vs Market: Brian's total compensation ($USD19.76M) is above average for companies of similar size in the US market ($USD13.41M).

Compensation vs Earnings: Brian's compensation has been consistent with company performance over the past year.


Leadership Team

Experienced Management: TGT's management team is considered experienced (3.4 years average tenure).


Board Members

Experienced Board: TGT's board of directors are considered experienced (5.3 years average tenure).


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Recent Insider Transactions

Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Target Corporation's employee growth, exchange listings and data sources


Key Information

  • Name: Target Corporation
  • Ticker: TGT
  • Exchange: NYSE
  • Founded: 1902
  • Industry: General Merchandise Stores
  • Sector: Retail
  • Implied Market Cap: US$69.374b
  • Shares outstanding: 463.70m
  • Website: https://corporate.target.com

Number of Employees


Location

  • Target Corporation
  • 1000 Nicollet Mall
  • Minneapolis
  • Minnesota
  • 55403
  • United States

Listings


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2022/06/28 00:00
End of Day Share Price2022/06/28 00:00
Earnings2022/04/30
Annual Earnings2022/01/29


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.