Stock Market Watch

Target Reports March Sales Results (TGT)

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Target CorporationTarget Corp. (NYSE: TGT) reported a 7.3% growth in March same store sales on Thursday. The result prompted the discount retailer to upgrade its quarterly earnings guidance above Wall Street forecasts.

Just like most of the retailers, Target also continued to show strong monthly reports with its net sales climbing up 7.9% to $6.43 billion last month.


Same stores sales is a closely watched metric by analysts as this number provides accurate idea of the sales  growth excluding those sales that come from stores opened a year ago.

Analysts were expecting a 5.4% growth in same store sales.

Commenting over the company’s performance, CEO, Gregg Steinhafel said in a statement, “March sales were well above our expectations, reflecting a healthy underlying trend combined with the benefit of an earlier Easter and favorable weather this year”.

Headquartered in Minneapolis, Target also attributed its stronger sales to higher average transaction size along with an increase in same-store transactions.

Encouraged by its March results, the Company said that it now expects its first quarter EPS of 96 cents to $1.02. Analysts were expecting an EPS of 97 cents.  Based on non GAAP accounting method, the Company expects its EPS in the range of $1.04 and $1.10.

The Company also said that it expects its same stores sales will increase in the low to mid single digit range.

Reacting to the growth, Target shares edged up 0.5% to $ 58.11 ahead of market opening even as S&P 500 index witnessed a modest decline.

Besides, Target, some other retailers that have shown better than expected performance for March sales includes Macy’s (NYSE: M) and Gap (NYSE: GPS).

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edliston
Post Written By: Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing in his yacht.


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Ed Liston

Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications. He is widely quoted in various financial publications on the Internet. When Ed is not writing about stocks, investing in stocks, talking about stocks, or otherwise doing something stock related, he likes to go sailing and fishing.

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