Analysts Place Target on Hold with Average $103 Price Objective and $80–$120 Forecast Range
Analysts from 34 firms assign a consensus Hold recommendation on Target, comprising 4 sells, 20 holds and 10 buys, with an average one-year price objective of $103.03. BMO and Bank of America cut their price targets to $90 and $80 respectively, while DA Davidson maintains a $120 target.
1. Analyst Ratings and Consensus Price Targets
Target Corporation has received a consensus recommendation of Hold from 34 analysts, based on four Sell ratings, 20 Hold ratings and 10 Buy ratings. Over the past year, the average one-year price objective among these firms stands at $103.03. Notable revisions include BMO Capital Markets reducing its target from $95 to $90 with a Market Perform rating, Wolfe Research maintaining an Underperform rating with an $81 target, and DA Davidson setting a $120 objective in mid-January. Zacks Research upgraded the stock from Strong Sell to Hold in early December.
2. Recent Earnings Performance and Fiscal Guidance
In its most recent quarter, Target delivered earnings per share of $1.78, surpassing the consensus estimate of $1.71, while reporting revenue of $25.27 billion versus the $25.44 billion analysts projected. Net margin reached 3.58% and return on equity climbed to 22.74%. Quarterly revenue declined 1.6% year-over-year, and the company’s EPS guidance for fiscal 2025 is set in a range of $7.00 to $8.00. Equities research analysts collectively forecast full-year EPS of $8.69.
3. Institutional Trading Activity and Ownership Structure
During the past two quarters, several institutions initiated or expanded positions in Target shares: WFA of San Diego LLC entered with $25,000 in Q2, Raleigh Capital Management increased its holding by 63.4% to 263 shares valued at $26,000, Heartwood Wealth Advisors added $27,000 in Q3, Investment Research & Advisory Group purchased $29,000 in Q2, and Global Wealth Strategies & Associates boosted its stake by 192% to 292 shares (worth $29,000) in Q4. Hedge funds and other institutional investors now hold approximately 79.73% of the company’s outstanding shares.
4. Board Enhancements and Dividend Policy
Target has appointed John Hoke III, former Chief Innovation Officer at a leading athletic apparel company, to its board effective March 1, joining the Governance & Sustainability and Compensation & Human Capital Management committees. Steve Bratspies, ex-CEO of a major apparel firm, will join on April 1, serving on the Audit & Risk and Infrastructure & Finance committees. The company declared a quarterly dividend of $1.14 per share, payable March 1 to holders of record on February 11, representing an annualized yield of 4.3% and a payout ratio of 55.34%.