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Target shares rise on strong Q1 sales and raised guidance, eyeing $175 by 2027 with digital growth key.

Company Fundamentals
22 May 2026
24/7 Wall Street
View Source
Bullish
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Target reported a strong first quarter with comparable sales up 5.6% and digital sales rising 8.9%, prompting management to raise its full-year earnings guidance to the high end of $7.50 to $8.50 per share. Despite a recent rally, the stock remains 35% below its five-year highs, facing challenges like consumer pessimism and margin pressure from higher costs. Analysts are cautiously optimistic, with a consensus price target near $129.50, but some see potential for the stock to reach $175 by 2027 if earnings grow and the valuation multiple expands. Key drivers include continued traffic growth, non-merchandise revenue expansion, and margin improvements, though risks like tariff increases could impact profitability.

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