This analyst just raised his price target on Target

Roth analyst Bill Kirk raised his target on Target (Target Stock Quote, Chart, News, Analysts, Financials NYSE:TGT) to $114.00 from $88.00, citing a major first-quarter comparable sales and earnings beat, while maintaining a “Neutral” rating.

Target reported Q1 comparable sales growth of 5.6%, ahead of consensus at 2.4%, and adjusted EPS of $1.71, ahead of the Street at $1.47. Net sales were $25.44-billion, above consensus at $24.66-billion, while adjusted EBIT margin was 4.5%.

In his May 21 analysis, Kirk said the quarter was a significant step forward, especially following Walmart’s strong Q1, but he remains cautious because the beat came against easy comparisons and in a more favourable discretionary spending environment.

Target raised fiscal 2026 guidance, now expecting net sales growth of about four per cent and EPS at the high end of its previous $7.50 to $8.50 range. Kirk said two concerns remain: adjusted SG&A growth outpaced the revenue upside, and Q1 may have been a “Goldilocks quarter.”

For fiscal 2026, Kirk raised his comparable sales forecast to 2.4% from 0.5% and his EPS estimate to $8.48 from $8.00.

The analyst expects Target to generate Adjusted EBITDA of $8.46-billion on revenue of $108.35-billion in fiscal 2026, improving to $8.92-billion on revenue of $111.02-billion in fiscal 2027.

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