Target Corporation (TGT) Earnings Call Transcripts

Target Corporation's Latest Earnings Call - Q2 FY2027

In the second quarter of fiscal 2026, Target Corporation reported net sales of $26.5 billion, a 5.3% increase year-over-year, driven by a 3.8% rise in comparable sales and a 3.6% increase in traffic. The company raised its full-year EPS guidance from a range of $7.50-$8.50 to $9.90-$10.90, reflecting strong underlying profitability and a $994 million benefit from tariff refunds. Management expressed confidence in their strategy, highlighting significant progress in merchandising and technology enhancements, while acknowledging ongoing challenges in home and apparel categories.

Reported metrics

Guidance from management

Target raised its full-year net sales growth guidance to around 5% and adjusted EPS guidance to $9.90-$10.90, reflecting confidence in continued growth despite challenges in some categories.

What management said

Yes. to Cara's point, I mean, we're eager to build on some of the momentum we've seen where we've made change in the categories that still need some work. And it was good to see growth across all of our key merchandising categories, but flattish growth in apparel and home isn't what we strive for over time. And the earnings power potential of those 2 high-margin categories returning to a place of more sustained growt...

Back to school as a topic, it's a place we're executing the fundamentals so well matters so much. We know we don't win in a season where every school peaks at a different time if we don't have inventory at the right place at the right time. And if we aren't providing a great guest experience, I couldn't be prouder of how I see our teams show up in stores right now in all the stores I've been in. Lisa, do you maybe ...

What analysts pressed on

Analysts expressed concerns about the underperformance in home and apparel categories, questioning management on the sustainability of traffic growth and the potential for further tariff refunds impacting future earnings.

Main topics on the call

• Revenue Growth Acceleration — Target's net sales increased by 5.3% year-over-year to $26.5 billion, with comparable sales up 3.8%. Management noted, "the strength in the top line translated into strong underlying profit performance as well."
• Guidance Update — The company raised its full-year EPS guidance to a range of $9.90-$10.90, up from $7.50-$8.50. This adjustment reflects confidence in ongoing growth, as stated by management, "we are raising our guidance for full year ne...
• Merchandising Strategy — Management highlighted the completion of significant merchandising transitions, particularly in food and beverage, which saw sales running more than 15% ahead of last year. "We’re seeing encouraging momentum," said CEO M...
• Technology Investments — Target is investing in technology to enhance guest experiences and operational efficiency, including a partnership with OpenAI. Digital traffic sourced from external AI platforms is growing more than 3.5x the industry av...

Read the full Target Corporation transcript (Q2 FY2027) → Summary generated from the call transcript; every figure above is stated by management on the record.

Earnings Call History

EarningsCalls.dev has 31 Target Corporation earnings call transcripts on record, spanning March 3, 2020 to August 19, 2026. Based on this history, Target Corporation reports quarterly. The most recent call on file is dated August 19, 2026. The full list is below — each row opens the complete, free-to-read transcript.

Ticker

TGT

Exchange

NYSE

Country

US

Sector

Consumer Staples

Industry

Consumer Staples Distribution and Retail

Calls on record

31

First call

March 3, 2020

Most recent

August 19, 2026

Reporting cadence

quarterly