+ Watch TGT
on My Watchlist
The country’s second-largest discount chain, Target shoots to be more upscale than rivals with a focus on design.
Retail stores need to show an ability to adapt to online commerce, and Target appears to be headed in that direction. If it can remain the "sexier" option over Walmart, it will continue to attract shoppers.
Good retail company that wont be going anywhere
Witness 1260 gave a very accurate assessment. Target passes the "eyeball test" - the place is always busy raking in revenue hand over fist. Will their stock outperform? Hard to say. Cherry picking the individual stocks is difficult and probably not even a good idea. Having said that, here you have a stable company/ safe investment with a dividend in a business we all understand. And on occasion we all contribute to that business by shopping there :)
I have to say, I really like Target's business model. They've convinced people to pay a higher price for the same item at their store versus at a rival's (looking at Wal-Mart). Look at how people think about shopping at Target. Look at the top pitch on this stock, who says he "feels poor" when he shops at Wal-Mart. There's a whole group of people who wouldn't be caught dead in that place. No one is saying any other similar retailer's name with a (facetious, true) French accent. Shopping at a place like Target has some weird status symbol thing going on.Which is why Target has higher margins than rivals, even though they're selling the same product. They have margins a good 8% higher than Wal-Mart, in spite of Wal-Mart's superior bargaining power with suppliers. (That doesn't sound like much, but keep in mind that these companies are operating on razor-thin margins) I think they've created a significant advantage here with their branding.I think that's an advantage that can stick as well, because the economy is improving, and if you think about it Wal-Mart shoppers want to become Target shoppers because it tells them they're doing well financially. I can see Target continuing to grow long-term. Clearly they see opportunities for growth as well. They've jacked up PPE spending.Short term, do we really think earnings are not going to change, or even decline, versus last year? I don't (but analysts do).
s&p 5 star
If Target is now entering the Canadian market in a major way, this move should dramatically increase their bottomline. They already enjoy a good "cross-border" reputation.
While many shift from shopping at Target to Walmart when pinched, Target still shows strong traffic and has tapped into a growing demographic. Should rise further as economy continues to recover.
Trying to compete with Amazon on price when you cannot compete on cost is a recipe for disaster.
Great store to shop in and great business to own. Expansion into Canada has increased debt and CapEx in the short term but should be a great long term move. Walmart is really the only similar store concept in Canada but Canadians will find Target to be far superior.
See my pitch at http://beta.fool.com/symie5/2012/11/13/beat-market-and-sleep-well-stock/16258/
I don't have much for fundamentals to back this up, but my experience at Target has always been awful. Friends who have worked there have hated it, and I've seen that same feeling reflected on the internet.The only advantage I see that Target has over Walmart is their perceived air of superiority. Someone else can easily come along to give their costumers that feeling of superiority with superior products to back it up.
Well valued holiday season will give this company a boost as well. Resalable company over all competing well. Financial strength is a little shaky be wary of its debt may not be great.
Based on their expansion in the Canadian market I think Target is set for more growth. I believe they can reach $70/share in the coming years.
slow and steady..one of the best retail places in the US..expect consolidation in the retail business...decent dividend..
good in bad economy, good in a strong economy. this company just keeps on keeping on. if you don't like Walmart, you shop here.
Picked up small position today for earnings play @ 63.33
Yield 2.31%. DGR 20%. PE 14. Normal PE 19. EPS Growth 11%. 44 year Dividend Champion. Undervalued. Position held in Brokerage account. Reinvesting dividends. Intend to increase position using cash dividend payouts from other stocks and new investment funds.
Low prices, one stop shopping: groceries, clothing, banking, pharmacy, electronics, etc...Less stigma moving into smaller cities than larger stores, ie Walmart, discounted real estate, ability to enter long term leases at discounted rates increases operating income. Good valuation, solid company.
BATS data provided in real-time. NYSE, NASDAQ and NYSEMKT data delayed 15 minutes.
Real-Time prices provided by BATS. Market data provided by Interactive Data.
Company fundamental data provided by Morningstar. Earnings Estimates, Analyst Ratings and Key Statistics provided by Zacks.
SEC Filings and Insider Transactions provided by Edgar Online.
Powered and implemented by Interactive Data Managed Solutions. Terms & Conditions