Third Quarter (ending October 31, 2024): Target reported a 0.3% increase in comparable sales, with a 1.9% decline in store sales offset by a 10.8% rise in digital sales. Total revenue grew by 1.1% to $25.7 billion. However, both GAAP and Adjusted earnings per share (EPS) decreased by 11.9% to $1.85, compared to $2.10 in the same period the previous year.
Fourth Quarter (ending January 31, 2025): Comparable sales grew by 1.5%, driven by strong digital performance. Net sales declined by 3.1% to $30.9 billion, primarily due to an extra week of sales in the previous year’s quarter. Operating income decreased by 21.3% to $1.5 billion. Both GAAP and Adjusted EPS were $2.41, down from $2.98 in the prior year.
Full-Year 2024: Net sales decreased by 0.8% to $106.6 billion, with a marginal comparable sales increase of 0.1%. Both GAAP and Adjusted EPS were $8.86, slightly down from $8.94 in the previous year.
External factors have also impacted Target’s performance. New tariffs imposed by the Trump administration on imports from Mexico, Canada, and China are expected to increase prices for consumers, particularly for imported fruits and vegetables. Additionally, declining consumer confidence has contributed to a cautious spending environment, leading Target to forecast flat same-store sales for 2025.
As of March 6, 2025, Target’s stock price is $114.30, reflecting a 25% decline over the past year.