Shares in beleaguered retailer Target (TGT) were higher today as it fought back in the tariff-led price war in the U.S by appealing to Saturday shoppers.
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Digital Shopping Center
The company’s stock was 0.2% higher in pre-market trading, as investors digested its announcement yesterday that it was removing same-day delivery price markups from its marketplace of over 100 retailers and grocers as part of the Target Circle 360 membership program. These companies include CVS and PetSmart with the same-day delivery service powered by Shipt.
“We have transformed Target Circle into a digital shopping center,” Target said. “We are making your Saturday errand run easier, faster and more affordable.”
Target is set to report its Q1 earnings on May 21 with the impact of tariffs on the U.S. consumer likely to be in the spotlight. This follows the recent Q1 report from grocer Walmart (WMT) where it warned that it would be hiking prices this month as a result of tariffs pressure.
Target’s Got Game
However, WMT has striven to reinforce its position as a low-value retailer helping consumers who still feel uncertain about the direction of the U.S. economy under President Donald Trump.
Target appears to be playing the same low price and high service game during these turbulent times. It is certainly been a tough period for the stock which has dropped over 26% so far this year. It has been battered by weak consumer spending, inventory and supply chain issues, tariff impacts, and stiff competition in retail.
Is TGT a Good Stock to Buy Now?
On TipRanks, TGT has a Moderate Buy consensus based on 10 Buy, 16 Hold and 2 Sell ratings. Its highest price target is $188. TGT stock’s consensus price target is $119.04 implying an 21.48% upside.
