Core Viewpoint - Morgan Stanley has issued an "Overweight" rating for Target (TGT.US) with a target price of $112, citing short-term uncertainties impacting the company's development [1] Group 1: Company Performance and Leadership Changes - Despite a generally positive performance in Q2 2025, the appointment of an internal CEO may raise concerns about the stability of Target's profit base, as the market anticipates potential strategic and financial transformations [1] - There is a division among investors regarding whether Target will appoint an external candidate, although internal candidate Michael Fiddelke is expected to succeed Brian Cornell as CEO [1] - Fiddelke's leadership of the newly established corporate acceleration office may signal a relative stability in the company's core strategy [1] Group 2: Financial Outlook and Risks - Morgan Stanley believes that the downside potential for Target's stock is relatively limited, with the current fiscal year earnings per share guidance indicating a theoretical profit floor of $7.00 [1] - Even if Fiddelke opts for reinvestment, Morgan Stanley estimates that Target's earnings per share will not fall below $6.00 [1] - The estimated real estate value of at least $30 billion provides a degree of support against downside risks [1] Group 3: Market Reaction and Expectations - As of Wednesday's market close, Target's stock fell by 6.33% to $98.69, with a cumulative decline of 25% year-to-date [2] - There are expectations from the market for Fiddelke to announce initiatives related to supply chain optimization, marketing improvements, and product value enhancement [2] - Establishing credibility through decisive changes in current strategies will be a key task for the new CEO [2]