Target Corporation [NYSE:TGT]: Analyst Rating and Earnings
Experts stock market traders frequently make a point to check what top Wall Street analysts say regarding a potential buy. Regarding Target Corporation [TGT] currently, the latest Wall Street ratings we can see is from the fiscal quarter that’s going to end in January. On average, stock market experts give TGT an Hold rating. Its stock price has been found in the range of 60.15 to 90.39. This is compared to its latest closing price of $77.12.
Wall Street analysts provide their ratings on a scale of 1 to 5, and the current average score for Target Corporation [TGT] is sitting at 2.54. This is compared to 1 month ago, when its average rating was 2.54.
For the quarter ending in Jan-19 Target Corporation [TGT] generated $22.98 billion in sales. That’s 0.06% higher than the average estimate of $22.96 billion as provided by Wall Street analysts. The three indicators above suggest that overall, this stock is demonstrating a mixed bag of positive appeal and some drawbacks, making it a somewhat risky investment that also has the potential to generate high ROI in the long run.
Stay on the lookout for the next publication of this organization’s financial results for the quarter, which will be made public on Wed 22 May (In 69 Days).
Fundamental Analysis of Target Corporation [TGT]
Now let’s turn to look at profitability: with a current Operating Margin for Target Corporation [TGT] sitting at +5.45 and its Gross Margin at +26.32, this company’s Net Margin is now 4.10%. These metrics indicate that this company is not generating as much profit, after accounting for expenses, compared to its market peers.
This company’s Return on Total Capital is 17.92, and its Return on Invested Capital has reached 13.50%. Its Return on Equity is 25.47, and its Return on Assets is 7.30. These metrics all suggest that Target Corporation is doing well at using the money it earns to generate returns.
Turning to investigate this organization’s capital structure, Target Corporation [TGT] has generated a Total Debt to Total Equity ratio of 99.81. Similarly, its Total Debt to Total Capital is 49.95, while its Total Debt to Total Assets stands at 27.31. Looking toward the future, this publicly-traded company’s Long-Term Debt to Equity is 90.49, and its Long-Term Debt to Total Capital is 45.29. This company is not leveraging its assets to take on debt, which stunts its growth and limits the ROI for investors.
What about valuation? This company’s Enterprise Value to EBITDA is 7.66 and its Total Debt to EBITDA Value is 1.78. The Enterprise Value to Sales for this firm is now 0.68, and its Total Debt to Enterprise Value stands at 0.24. Target Corporation [TGT] has a Price to Book Ratio of 3.26, a Price to Cash Flow Ratio of 6.35 and P/E Ratio of 13.88. These metrics all suggest that Target Corporation is more likely to generate a positive ROI.
Similarly, this company’s Total Asset Turnover is 1.88. This publicly-traded organization’s liquidity data is also interesting: its Quick Ratio is 0.20 and its Current Ratio is 0.83. This company is not investing its short-term assets in an optimally efficient way, making it a riskier investment.
Target Corporation [TGT] has 524.31M shares outstanding, amounting to a total market cap of $40.10B. Its stock price has been found in the range of 60.15 to 90.39. At its current price, it has moved by -15.38% from its 52-week high, and it has moved 27.17% from its 52-week low.
This stock’s Beta value is currently 0.63, which indicates that it is more volatile that the wider market. This stock’s Relative Strength Index (RSI) is at 64.41. This RSI score is good, suggesting this stock is neither overbought or oversold.
Conclusion: Is Target Corporation [TGT] a Reliable Buy?
Target Corporation [TGT] stock is presenting a less attractive investment opportunity when compared to similarly-sized corporations in the same industry. The price performance of these shares has not shown much promise, and the financial results that this company has recently delivered present a highly risky investment.