Overview
- Target reported Q4 net sales of $30.5 billion and full‑year GAAP EPS of $8.13 with adjusted EPS of $7.57.
- Gross margin rose to 26.6% on lower shrink and reduced supply‑chain and fulfillment costs, while non‑merchandise sales increased about 25% and membership revenue more than doubled.
- Management guided 2026 net sales to grow about 2% with EPS of $7.50 to $8.50 and an expected operating margin expansion of roughly 20 basis points.
- The company announced a $5 billion 2026 capital plan, more than 30 new stores next year including its 2,000th in Fuquay‑Varina, NC, and a longer‑term goal to add over 300 stores by 2035, alongside added payroll and training investment.
- Mizuho raised its Target price target to $120 after investor day and kept a Neutral rating, while Jim Cramer voiced cautious support, saying sustained positive comps, margin gains and earnings growth remain the proof points.