Target price target raised to $127 from $121 at Piper Sandler

Piper Sandler raised the firm’s price target (TGT) on Target to $127 from $121 and keeps a Neutral rating on the shares. Following the Q1 call, the firm is incrementally more positive on Target. Despite the solid comparable sales and EPS beat, shares are selling off on the print, which Piper believes is due to Q1 comp meeting elevated buyside comp expectations and poor flow-through with a 7% increase in SG&A year-over-year. Big picture, sales improvement was encouraging as it was broad-based across categories and income levels, argues the firm.