Core Viewpoint - Target's FQ2 2026 results show some improvements, but the company continues to lag behind peers, lose market share, and contract its business, with the new CEO not boosting market optimism [1][4] Financial Performance - Target reported net revenue of $25.21 billion, outperforming consensus by 120 basis points but down nearly 1% year-over-year [7] - The company experienced a 1.9% decline in systemwide comps, driven by a 1.2% decrease in merchandise sales, although non-merchandise sales increased by 14% [8] - EPS is down 20% compared to the prior year, with gross and operating margins contracting [10] Market Sentiment - The stock fell more than 10% following the announcement of the new CEO, indicating resistance at a critical level within a bear market [2] - Analysts currently rate the stock as a Hold, with a bearish bias and an increasing number of Hold and Sell ratings expected in 2025 [5] - The consensus forecasted a 10% upside ahead of the release, but the stock was down 35% in the preceding 12 months [6] Future Guidance - The company reaffirmed its guidance despite Q2 strengths, suggesting a weaker-than-previously-expected second-half forecast [11] - Institutional trends in 2025 are bullish, with buying activity ramping up sequentially [11] Stock Price Forecast - The 12-month stock price forecast is $115.42, indicating an 18.85% upside from the current price of $97.12 [7]