Target (TGT) Q2 Earnings Lag Estimates

Core Insights - Target reported quarterly earnings of $2.05 per share, missing the Zacks Consensus Estimate of $2.09 per share, and down from $2.57 per share a year ago, representing an earnings surprise of -1.91% [1] - The company posted revenues of $25.21 billion for the quarter ended July 2025, surpassing the Zacks Consensus Estimate by 1.20%, but down from $25.45 billion year-over-year [2] - Target shares have declined approximately 22.1% year-to-date, contrasting with the S&P 500's gain of 9% [3] Earnings Outlook - The current consensus EPS estimate for the upcoming quarter is $1.80 on revenues of $25.34 billion, and for the current fiscal year, it is $7.48 on revenues of $104.73 billion [7] - The estimate revisions trend for Target was mixed ahead of the earnings release, resulting in a Zacks Rank 3 (Hold) for the stock, indicating expected performance in line with the market [6] Industry Context - The Retail - Discount Stores industry is currently ranked in the bottom 23% of over 250 Zacks industries, suggesting potential challenges for stocks within this sector [8] - Another competitor in the same industry, Dollar Tree, is expected to report a quarterly earnings decline of -44.8% year-over-year, with revenues anticipated to be $4.45 billion, down 39.7% from the previous year [9][10]