No. of Recommendations: 5
Hard to assess if Target is in a terminal decline like so many retailers. They have managed to displease both conservatives and liberals with their DEI policy shifts.
Plus competition from WalMart, Amazon, Costco, Aldi, dollar stores, Chinese apps Temu/Shein.
And finally the uncertainty around tariffs.
The dividend at 4.3% is on par with 3-month TBills. If it was selling at single digit PEs it may be worth a gamble, as it would be priced for declining earnings. But at current PE there is still the expectation that earnings dip is temporary and will right itself soon.
