Target Extends Dividend Growth to 55 Years with 4.7% Yield
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 2h ago
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Source: Fool
- Dividend Growth: Target has extended its dividend increase streak to 55 years, with the latest quarterly dividend at $1.13 per share, translating to an annualized payout of $4.56, showcasing the company's stability in profitability.
- Market Performance: Despite a 25% decline in stock price over the past year, Target's dividend yield has risen to 4.7%, attracting income-seeking investors and reflecting market confidence in its future growth.
- Earnings Outlook: The company anticipates earnings per share between $7 and $8 this year, with a sustainable dividend payout ratio of 61%, indicating Target's capability to continue increasing dividends in the future.
- Analyst Projections: Analysts predict that Target will reverse its three-year decline in net sales by 2026, with the current stock price trading at just 13 times forward earnings, highlighting its undervalued potential.
TGT
$99.55+Infinity%1D
Analyst Views on TGT
Wall Street analysts forecast TGT stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for TGT is 101.75 USD with a low forecast of 80.00 USD and a high forecast of 130.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
22 Analyst Rating
7 Buy
11 Hold
4 Sell
Hold
Current: 96.530
Low
80.00
Averages
101.75
High
130.00
Current: 96.530
Low
80.00
Averages
101.75
High
130.00
About TGT
Target Corporation is a general merchandise retailer selling products to its guests through its stores and digital channels. The Company offers customers, referred to as guests, everyday essentials and fashionable, differentiated merchandise at discounted prices. The majority of its stores offer a wide assortment of general merchandise and food. Its merchandise categories include apparel and accessories, beauty and household essentials, food and beverage, hardlines, and home furnishings and decor. Most of its stores are larger than 170,000 square feet, offer a variety of general merchandise and a full line of food items comparable to traditional supermarkets. Its digital channels include a wide merchandise and food assortment, including many items found in its stores, along with a complementary assortment sold by the Company and third parties. Its brands include A New Day, Ava & Viv, Cloud Island, Favorite Day, and others. It serves guests at nearly 2,000 stores and at Target.com.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
