Target downgraded to Neutral from Buy at Goldman Sachs

Goldman Sachs downgraded Target (TGT) to Neutral from Buy with a price target of $101, down from $142. The firm cites concerns around seeing a recovery in growth for discretionary categories, more downside risk in earnings than upside given possible sales deleverage and tariff risk, and recent data indicating Target’s sales may be slowing for the downgrade. With the macro backdrop getting more volatile, Goldman is concerned about seeing a recovery in growth for discretionary categories, the analyst tells investors in a research note. The firm believes uncertainty around tariffs and the inflation outlook are taking a toll on consumer sentiment and expectations.