Among the department stores that have turned to broadcast media to build retail sales is Minneapolis-based Target Corporation.
Perhaps a boost in radio and TV spots is on the way, given the company’s astoundingly positive Q3 results.
Target reported Q3 revenue of $18.67 billion. Analysts’ estimates were for revenue of $18.45 billion in the quarter. Net income grew to $714 million ($1.39 per share) from $622 million ($1.17).
Same-store sales rose 4.5%, beating the 3.7% growth estimated by FactSet.
What was notable was that 2.8% growth was seen in brick-and-mortar stores, while 1.7% growth was seen online. Target has been remodeling older stores in many areas of the country, while “Super Target” stores have shed the brand as part of a singular brand redefinition.
As of 2:49pm Eastern, on huge volume of 29.3 million shares (average volume is 5.16 million shares), TGT was up 14.2% to $126.56 — an all-time high.
Eleven years ago, TGT sat at $31.20, and was sagging. While growth was seen, along with incremental dips, the growth for Target seen since Dec. 1, 2018 is nothing short of breathtaking. Then, Target shares were valued at $66.09.
Today, TGT is just shy of $10 higher than its 1-year target estimate.