Target reports first quarter 2019 earnings

Target reports first quarter 2019 earnings


Customers shop at a Target store in Seattle, Washington.

David Ryder | Bloomberg | Getty Images

Target is set to report first-quarter earnings before the bell Wednesday.

Here’s what analysts are expecting, based on Refinitiv data:

  • Earnings per share, adjusted: $1.43
  • Revenues: $17.52 billion
  • Same-store sales: up 4.2%

Target’s earnings follow those of rival Walmart — which showed pressure on margins easing thanks to greater sales of its in-house apparel and home brands, and private-label food options, giving the big-box retailer a boost. Target is hoping to see more of the same results.

Morgan Stanley earlier this month upgraded shares of Target, calling it a “survivor” in retail. The firm said it believed Target was beyond its “peak margin pain,” as it’s been making investments in its stores, website and supply chain, which have eaten into profits in the near term.

“Now, there are signs Target’s shipping related deleverage is narrowing, particularly as it invests in fulfillment options .. which promote higher traffic and reduce costs,” Morgan Stanley said.

Target also generated buzz this month around the launch of its limited-edition line with preppy apparel and accessories brand Vineyard Vines. When items hit stores this past weekend, throngs of shoppers showed up ahead of opening hours. Target has used similar collaborations in the past to drive traffic.

As of Tuesday’s market close, Target shares are up about 9% for the year, bringing its market cap to approximately $37.1 billion. Walmart shares are up about 8.5% so far this year.

This is a developing story. Please check back for updates.



Source link

About The Author

We are independent. we bring you the Real news from around the world.

Related posts