On March 3^rd Target Corporation (TGT) the Nation’s 6^th-ranked retailer, posted results for Q4 and FY 2025 ending February 1^st, beating the earnings estimate of $2.16 and conforming to the sales estimate.  For the quarter, the Company earned $1,046 million on sales of $30,453 million with a diluted EPS of $2.30. For the corresponding Q4 FY 2024 ending February 1^st, Target earned $1,103 million on sales of $30,915 million with a diluted EPS of $2.41. Revenue was down by 1.5 percent and net earnings were down 5.2 percent compared to Q4 FY 2024. Gross margin increased from 26.2 percent in Q4 FY2024 to 26.6 percent for the most recent quarter due to lower inventory shrinkage. Operating margin fell from 4.7 percent to 4.5 percent.

For FY 2025, the Company earned $3,705 million on sales of $104,780 million with a diluted EPS of $8.13. For the previous FY 2024 Target earned $4,091 million on sales of $106,566 million with a diluted EPS of $8.86

For Q4 FY 2025, comparable same-store sales declined by 2.5 percent compared to a positive 1.5 percent in Q4 FY 2024. The company recorded a 2.9 percent decline in transactions (‘traffic’) partly offset by a 0.4 percent increase in the value of each transaction (‘ticket’). Digital sales were up 23.7 percent during Q4 FY 2025.

The Company continued with the Target Circle a free loyalty benefits program replacing the previous paid membership alternative with an increase in membership of 30 percent.

In commenting on results Michael Fiddelke, CEO stated, “I'm incredibly proud of how our team navigated through a challenging year in 2025, as they focused on serving our guests while positioning our business for profitable growth in 2026 and beyond," He added "Our team is firmly focused on writing Target's next chapter of growth, rooted in strengthening our merchandising authority, delivering an elevated and differentiated shopping experience, advancing our use of technology, and continuing to serve and invest in our team and communities”.  Fiddelke concluded “Target saw a healthy, positive sales increase in February, serving as an important milestone on our path back to growth this year, and reinforcing my confidence in the momentum we're building and the future we're creating together."

The Company raised guidance for fiscal 2026. Target expects a two percent increase in same-store sales growth and an adjusted EPS ranging from $7.50 to $8.50

At the Analysts’ meeting Target unveiled its multi-year strategy under CEO Michael Fiddelke intended to accelerate return to growth. This will include upgrading the ‘store experience’ across the chain, investing in store payroll and training and improving service and consumer satisfaction.

Michael Fiddelke stated "This new chapter of growth at Target is defined by clear choices and rooted in a deeper understanding of our unique lane in retail, the guests we serve and the areas where we're distinctly positioned to win," He added, "This work is underway, and by putting style, design and value at the center of every decision, we're making big changes to lead with a trend-forward assortment, elevate the guest experience, accelerate with technology and equip our teams to deliver the most delightful experience in retail, for today and over the long term."

The four growth priorities that will guide decisions and investments in 2026 and beyond will involve:-

• Merchandizing to set trends with differentiated, culturally relevant assortments offering style, design and value.
• Improving the in-store experience through strengthening loyalty and engagement.
• Accelerating technology to help teams become more efficient and to create more personalized experiences for guests.
• Strengthening teams and communities by investing in training and career growth and building on Target's long-standing commitment to communities.

Target intends to invest $2 billion out of a $5 billion capital budget on upgrades to stores including featuring Target brands and upscale cosmetics counters

On January 31^st 2025 Target posted total assets of $59,490 million, up 3.0 percent from February 1^st 2024. Long-term debt and lease obligations attained $19,830 million. Target Corporation had an intraday market capitalization of $54,700 million on March 4^th. The Company has traded over the past fifty-two weeks over a range of $83.46 to $126.00 with a 50-day moving average of $107.98.  TGT trades with a forward P/E of 15.5. On March 3^rd pre-release the share priced at  $111.00 but after the morning release opened at $118.30 and closed at $119.60

Twelve-month trailing operating margin was 4.5 percent and profit margin 3.5 percent.  The Company generated a return on assets of 5.8 percent and 24.0 percent on equity.