Target (TGT) Q1 2026 earnings

Key Points:

• Target reported fiscal first-quarter earnings per share of $1.71 and revenue of $25.44 billion, both surpassing Wall Street estimates, with net sales growing over 6% year over year and same-store sales rising 5.6%, its first positive figure in five quarters.
• The retailer saw broad-based strength across categories, including a 4.4% increase in store and digital traffic and an 8.9% rise in digital comparable sales, driven partly by same-day delivery through its Target Circle 360 membership.
• Non-merchandise sales surged nearly 25%, fueled by growth in membership revenue and the Target+ marketplace, while sales increased across all core merchandising categories, notably health and wellness, toys, and baby products.
• Target raised its full-year net sales growth outlook to 4%, up 2 percentage points from prior guidance, and expects earnings per share near the high end of its $7.50 to $8.50 range, despite maintaining a cautious outlook due to macroeconomic uncertainty.
• The company plans increased capital expenditures of about $5 billion in 2024 to support its turnaround, focusing on merchandising, guest experience, technology, and a major food and beverage transition in the second quarter, aiming for sustainable long-term growth.