Target (TGT)
NYSE:TGT
Earnings Data
Report Date
May 27, 2026Before Open (Confirmed)
Period Ending
2026 (Q1)Consensus EPS Forecast
1.35Last Year’s EPS
1.3Same Quarter Last Year
Moderate Buy
Based on 26 Analysts Ratings
Earnings Call Summary
Earnings Call Sentiment|Positive
The earnings call presented a constructive and strategic reset: management articulated clear priorities (merchandising authority, guest experience, technology, team/community), backed those priorities with significant funding (>$2B incremental investment and ~$5B CapEx) and highlighted encouraging early top-line and digital/loyalty momentum (same-day delivery +30%, marketplace +30%, doubled Circle360 membership, early category wins). At the same time, the company candidly acknowledged recent underperformance, tariff- and inventory-related pressures in 2025, execution risk from large-scale store and assortment changes, and modest near-term sales guidance (~2% net sales growth). Overall, the positives — funded strategy, measurable initiatives, productivity gains and early sales signals — appear to outweigh the risks, though the plan's success depends heavily on flawless execution and resolution of macro/tariff uncertainty.Company Guidance
Material Incremental Investment and Capital Plan
Target announced more than $2.0 billion of incremental investments in 2026: ~$1.0 billion in additional CapEx (raising full-year CapEx to approximately $5.0 billion, +~$1.0 billion YoY) and ~$1.0 billion reinvested into the P&L to support stores, payroll, marketing and technology. Plans include opening more than 30 new full-size stores and completing more than 130 full-store remodels in 2026 (remodel lifts of ~2–4% in year 1).
2026 Financial Guidance and EPS Outlook
Full-year net sales guidance is to grow around 2% versus prior year with a small comparable-sales increase. Management expects adjusted operating income rate to be ~20 basis points higher than the 4.6% adjusted rate in 2025 and provided GAAP/adjusted EPS guidance of $7.50–$8.50 for 2026 (center of range implies ~5–6% adjusted EPS growth vs. last year). Q1 adjusted EPS expected to be flat to up slightly from prior-year Q1 of $1.30.
Early Top-Line Momentum and Seasonal Strength
Management reported accelerating sales trends in December and January and further acceleration in February, describing 'very healthy top-line growth' in the first month of the new fiscal year — cited as early proof points that merchandising changes are resonating.
Digital, Same-Day and Loyalty Strengths
Same-day delivery grew >30% last year; Target Circle members spend 3x more on average and Target Circle 360 members spend 7x more (Circle 360 membership doubled). Same-day services generated more than $14 billion in sales and accounted for ~2/3 of total digital sales. The personalization engine tied to Target Circle is driving 'billions of dollars' of incremental sales, and Target Plus marketplace grew >30% year-over-year.
Aggressive Merchandising and Category Initiatives
Concrete merchandising actions include: home — overhaul of >75% of decorative accessories by June, >75% of top-of-bed by fall and >80% of kids home; Threshold relaunch with shop-in-shops in 200 stores; beauty — 3,000 new items and 60 new brands (Target Beauty Studio planned in 600 stores this fall); Fun101 concept doubled traffic in fandom categories since September; food — newness drove $2 billion in food sales last year and nonalcoholic beverages comp grew ~6.5%. Management plans to double the number of unique food items over the next 3 years, and Good & Gather is on pace to become a ~$4 billion owned brand.
Margin, Cost Control and Productivity Gains
Operational improvements included ~90 basis points of benefit from lower inventory shrink (restoring shrink to pre-pandemic levels) and lower GAAP and adjusted SG&A dollars in 2025 vs. prior year despite investments in wages/benefits. In Q4 the team grew adjusted operating income dollars and adjusted EPS year-over-year despite a sales decline, and supply-chain/digital fulfillment productivity drove year-over-year gross margin favorability in Q4.
Community and Team Commitments
Target highlighted social and team achievements: 1 million volunteer hours (10th time), ongoing 5% profit back to communities via products/cash/Foundation, expanded Dream to Be tuition-free education (12,000 team members earned degrees/certificates), and planned investments in payroll and training to strengthen store execution.
TGT Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed
TGT Earnings-Related Price Changes
Report Date | Price 1 Day Before | Price 1 Day After | Percentage Change |
|---|---|---|---|
Mar 03, 2026 | $113.17 | $120.80 | +6.74% |
Nov 19, 2025 | $87.64 | $85.21 | -2.77% |
Aug 20, 2025 | $103.00 | $96.48 | -6.33% |
May 21, 2025 | $94.89 | $89.95 | -5.21% |
Earnings announcements can affect a stock’s price. This table shows the stock's price the day before and the day after recent earnings reports, including the percentage change.
FAQ
When does Target (TGT) report earnings?
Target (TGT) is schdueled to report earning on May 27, 2026, Before Open (Confirmed).
What is Target (TGT) earnings time?
Target (TGT) earnings time is at May 27, 2026, Before Open (Confirmed).
Where can I see when companies are reporting earnings?
You can see which companies are reporting today on our designated earnings calendar.
What companies are reporting earnings today?
You can see a list of the companies which are reporting today on TipRanks earnings calendar.
What is TGT EPS forecast?
TGT EPS forecast for the fiscal quarter 2026 (Q1) is 1.35.
