Target’s Q4 Sales Fall 1.5% as Same-Day Delivery Surges 30%
For the quarter ended January 31, Target reported net sales of $30.5 billion, down 1.5% year-over-year, with comparable sales declining 2.5%, same-day delivery up over 30% and membership revenue doubling. Adjusted EPS were $2.44 versus $2.41 year-ago, and 2026 guidance calls for about 2% net sales growth and flat earnings.
1. Q4 Financial Performance
For the quarter ended January 31, net sales were $30.5 billion, down 1.5% year-over-year, with comparable sales falling 2.5%. Adjusted EPS were $2.44 versus $2.41 a year ago, narrowly beating the retailer’s conservative guidance.
2. Sales Composition and Services Growth
Traffic declined about 3% in stores, but customers spent more, driving growth in Food & Beverage, Beauty and Toys. Same-day delivery surged over 30% and membership revenue more than doubled, highlighting the strength of Target’s fulfillment services and loyalty offerings.
3. Guidance and Market Response
Management forecasts roughly 2% net sales growth for 2026 with earnings in line with or slightly above 2025 levels. An early February sales uptick and the modest outlook boosted shares by 4% premarket as investors sought stability.