{"id":82715,"date":"2025-08-20T15:20:09","date_gmt":"2025-08-20T15:20:09","guid":{"rendered":"https:\/\/www.newsbeep.com\/au\/82715\/"},"modified":"2025-08-20T15:20:09","modified_gmt":"2025-08-20T15:20:09","slug":"target-nabs-q2-beat-but-stock-sinks-as-management-continues-to-warn-of-slumping-sales","status":"publish","type":"post","link":"https:\/\/www.newsbeep.com\/au\/82715\/","title":{"rendered":"Target nabs Q2 beat, but stock sinks as management continues to warn of slumping sales"},"content":{"rendered":"<p class=\"css-14ve0pc\"><a class=\"inline-stock css-1iix00n\" href=\"https:\/\/robinhood.com\/us\/en\/stocks\/TGT\/?source=sherwood\" rel=\"nofollow noopener\" target=\"_blank\">Target<\/a> shares sank 10% in premarket trading after the retailer posted a <a href=\"https:\/\/corporate.target.com\/press\/release\/2025\/08\/target-corporation-reports-second-quarter-earnings\" target=\"_blank\" class=\"css-uubm0\" rel=\"noopener nofollow\">Q2 earnings beat<\/a> but reiterated expectations for a sales drop this year.<\/p>\n<p class=\"css-14ve0pc\">The company also announced that longtime CEO Brian Cornell would step down.<\/p>\n<p class=\"css-14ve0pc\">Adjusted earnings per share came in at $2.05, versus Wall Street\u2019s estimate of $2.04. Revenue landed at $25.2 billion, compared with forecasts of $24.9 billion. Meanwhile, same-store sales fell 1.9%, better than the projected 2.9% decline, per FactSet.<\/p>\n<p class=\"css-14ve0pc\">Looking ahead, Target affirmed its full-year guidance. For fiscal 2025, it expects a low single-digit sales decline and adjusted EPS ranging between $7.00 and $9.00, the midpoint of which is well above the $7.30 from analysts polled by Bloomberg.<\/p>\n<p class=\"css-14ve0pc\">Target has been fighting through a sales slump and lowering prices to win shoppers back. But it hasn\u2019t been enough to stop the bleed: last week, Bank of America analysts <a href=\"https:\/\/www.marketwatch.com\/story\/target-might-need-to-raise-prices-nearly-twice-as-much-as-walmart-to-cushion-tariff-impact-analysts-say-7ede7247\" target=\"_blank\" class=\"css-uubm0\" rel=\"noopener nofollow\">downgraded their rating for the stock<\/a> to \u201cunderperform,\u201d warning that the retailer was already lagging peers and would need to raise prices by roughly 8% on average to fully offset tariffs expected in fiscal 2027.<\/p>\n<p class=\"css-14ve0pc\">And now, the retailer\u2019s leadership is set to change. Longtime CEO Brian Cornell will step down in February after more than a decade at the helm. He\u2019ll be succeeded by current Chief Operating Officer Michael Fiddelke, who has been with the company for nearly 20 years.<\/p>\n<p class=\"css-14ve0pc\">Target shares were down 23% year to date prior to earnings.<\/p>\n","protected":false},"excerpt":{"rendered":"Target shares sank 10% in premarket trading after the retailer posted a Q2 earnings beat but reiterated expectations&hellip;\n","protected":false},"author":2,"featured_media":82716,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[12],"tags":[64,63,99,171],"class_list":{"0":"post-82715","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-markets","8":"tag-au","9":"tag-australia","10":"tag-business","11":"tag-markets"},"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/82715","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=82715"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/82715\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/82716"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=82715"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=82715"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=82715"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}