Target cut its full-year sales outlook on Wednesday after first-quarter results missed expectations. The retail giant reported adjusted earnings per share of $1.30, though it’s unclear how that compares to the $1.61 analysts expected. Revenue came in at $23.85 billion, missing the $24.27 billion forecast. Target saw a 2.4% drop in transactions and a 1.4% decline in average customer spending across its stores and website. Executives cited weaker discretionary spending, tariff uncertainty, and backlash over the rollback of diversity efforts as key pressures. Target now expects full-year sales to decline in the low single digits and lowered adjusted EPS guidance to $7 to $9, down from $8.80 to $9.80. Target will raise prices on some items to manage tariffs, while continuing to adjust sourcing strategies to reduce dependence on China.
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00:00It's Benzinga bringing Wall Street to Main Street.
00:02Target cut its full-year sales outlook on Wednesday after first-quarter results missed expectations.
00:07The retail giant reported adjusted earnings per share of $1.30,
00:11though it's unclear how that compares to the $1.61 analysts expected.
00:15Revenue came in at $23.85 billion, missing the $24.27 billion forecast.
00:19Target saw a 2.4% drop in transactions and a 1.4% decline in average customer spending
00:24across its stores and website.
00:25They could have cited weaker discretionary spending, tariff uncertainty, and backlash
00:29over the rollback of diversity efforts as key pressures.
00:32Target now expects full-year sales to decline in the low single digits.
00:35Lower adjusted EPS guidance to $7 to $9, down from $8.80 to $9.80.
00:40Target will raise prices on some items to manage tariffs,
00:42while continue to adjust sourcing strategies to reduce dependence on China.
00:46For all things money, visit Benzinga.com slash GSTV.