In the third quarter, Target Corporation surprised the markets, as earnings per share reached $1.36 adjusted and surpassed the market expectations by 17 cents per share.
Target’s revenue in the third quarter reached $18.67 billion. This amount beat the expectations by 180 million.
Total revenue in the third quarter grew 4.7% to $18.67 billion. As a result, total revenue in comparison with the same period in 2018 increased from $17.82 billion to $18.67 billion.
Same-store sales rose by 4.5%, which is higher than it was expected by analysts. Analysts predicted that same-store sales would increase by 3.6%.
The company also revised its forecast regarding the full-year adjusted earnings per share. Target also expects that earnings per share would reach between $6.25 to $6.45. The previous estimate was lower as Target expected that earnings would fall within a range of $5.90 to $6.20.
The good news for Target came from the stock market as its shares increased by more than 14% on Wednesday. Also, the shares of Target reached an all-time intraday high of $127.20.
In 11 months of 2019, the stock added more than 90%. Right now, Target’s market cap is around $64.6 billion.
Target’s shares and a company overview
As mentioned above, the shares of Target Corporation, which is the eighth-largest retailer in the United States rose by more than 14%.
It is important to keep in mind that Target is a component of the S&P 500 index.
Target’s third-quarter earnings and sales surpassed market expectations. Competitors such as J.C. Penney and Kohl’s missed the expectations. In this situation, Target managed to improve market sentiment.
Last but not least is the number of stores in the U.S, As of February 2019, the company operates 1,844 stores across the United States. The headquarters of Target is in Minneapolis, in the state of Minnesota.