Target (NYSE:TGT) Reaches New 52-Week Low After Earnings Miss

Target Co. (NYSE:TGT)’s stock price hit a new 52-week low on Wednesday following a dissappointing earnings announcement. The company traded as low as $124.75 and last traded at $124.75, with a volume of 10175462 shares. The stock had previously closed at $156.00.

The retailer reported $1.85 earnings per share (EPS) for the quarter, missing the consensus estimate of $2.30 by ($0.45). Target had a return on equity of 33.10% and a net margin of 4.18%. The company had revenue of $25.23 billion for the quarter, compared to analyst estimates of $25.87 billion. During the same quarter in the previous year, the firm posted $2.10 EPS. Target’s quarterly revenue was up .9% on a year-over-year basis.

Target Announces Dividend

The company also recently disclosed a quarterly dividend, which will be paid on Tuesday, December 10th. Shareholders of record on Wednesday, November 20th will be given a dividend of $1.12 per share. This represents a $4.48 annualized dividend and a yield of 3.68%. The ex-dividend date is Wednesday, November 20th. Target’s payout ratio is 46.28%.

Analysts Set New Price Targets

TGT has been the topic of a number of research analyst reports. Citigroup downgraded Target from a “buy” rating to a “neutral” rating and lowered their price target for the company from $188.00 to $130.00 in a report on Wednesday. Piper Sandler lowered their target price on Target from $156.00 to $130.00 and set a “neutral” rating on the stock in a research note on Thursday. Jefferies Financial Group increased their price target on shares of Target from $190.00 to $195.00 and gave the stock a “buy” rating in a research report on Thursday, August 22nd. Daiwa Capital Markets upgraded shares of Target from a “neutral” rating to an “outperform” rating and set a $170.00 price objective on the stock in a research note on Monday, August 26th. Finally, Bank of America decreased their target price on shares of Target from $195.00 to $160.00 and set a “buy” rating for the company in a research note on Thursday. One analyst has rated the stock with a sell rating, fourteen have assigned a hold rating, sixteen have assigned a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $162.13.

Insider Activity

In other news, CAO Matthew A. Liegel sold 1,000 shares of the business’s stock in a transaction that occurred on Friday, August 30th. The stock was sold at an average price of $153.13, for a total transaction of $153,130.00. Following the sale, the chief accounting officer now directly owns 7,276 shares in the company, valued at approximately $1,114,173.88. The trade was a 12.08 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. Also, insider Brian C. Cornell sold 45,000 shares of the firm’s stock in a transaction on Tuesday, August 27th. The stock was sold at an average price of $158.67, for a total value of $7,140,150.00. Following the completion of the transaction, the insider now directly owns 303,843 shares of the company’s stock, valued at approximately $48,210,768.81. This trade represents a 12.90 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 52,348 shares of company stock valued at $8,290,995. 0.15% of the stock is owned by company insiders.

Hedge Funds Weigh In On Target

A number of hedge funds have recently made changes to their positions in TGT. Cynosure Group LLC lifted its stake in Target by 4.3% during the third quarter. Cynosure Group LLC now owns 1,590 shares of the retailer’s stock worth $248,000 after purchasing an additional 65 shares during the period. Financial Advocates Investment Management lifted its position in shares of Target by 1.2% during the 3rd quarter. Financial Advocates Investment Management now owns 5,736 shares of the retailer’s stock worth $894,000 after buying an additional 67 shares during the period. Hancock Whitney Corp boosted its stake in Target by 3.3% in the 3rd quarter. Hancock Whitney Corp now owns 2,156 shares of the retailer’s stock valued at $336,000 after buying an additional 68 shares in the last quarter. Beacon Capital Management LLC grew its position in Target by 20.8% in the second quarter. Beacon Capital Management LLC now owns 400 shares of the retailer’s stock valued at $59,000 after acquiring an additional 69 shares during the period. Finally, Integral Investment Advisors Inc. raised its stake in Target by 5.3% during the second quarter. Integral Investment Advisors Inc. now owns 1,382 shares of the retailer’s stock worth $203,000 after acquiring an additional 69 shares in the last quarter. Institutional investors and hedge funds own 79.73% of the company’s stock.

Target Stock Performance

The company has a quick ratio of 0.27, a current ratio of 0.90 and a debt-to-equity ratio of 0.95. The stock has a fifty day simple moving average of $151.79 and a 200-day simple moving average of $149.92. The company has a market capitalization of $56.05 billion, a P/E ratio of 12.57, a PEG ratio of 2.03 and a beta of 1.24.

About Target

Target Corporation operates as a general merchandise retailer in the United States. The company offers apparel for women, men, boys, girls, toddlers, and infants and newborns, as well as jewelry, accessories, and shoes; and beauty and personal care, baby gear, cleaning, paper products, and pet supplies.