Target boosts 2026 outlook after Q2 sales and earnings beat

Retail & Consumer Retail Written by: Emily Jarvie 09:02 Wed 19 Aug 2026 --> Disclaimer No investment advice About this content Editorial Standards & Policies Share article About this content × About Emily Jarvie Emily began her career as a political journalist for Australian Community Media in Hobart, Tasmania. After she relocated to Toronto, Canada, she reported on business, legal, and scientific developments in the emerging psychedelics sector before joining Proactive in 2022. She brings a strong journalism background with her work featured in newspapers, magazines, and digital publications across Australia, Europe, and North America, including The Examiner, The Advocate, The Canberra Times, and... Read more About the publisher Proactive financial news and online broadcast teams provide fast, accessible, informative and actionable business and finance news content to a global investment audience. All our content is produced independently by our experienced and qualified teams of news journalists. Proactive news team spans the world’s key finance and investing hubs with bureaus and studios in London, New York, Toronto, Vancouver, Sydney and Perth. We are experts in medium and small-cap markets, we also keep our community up to date with blue-chip companies, commodities and broader investment stories. This is content that excites and engages motivated private investors. The team delivers news and unique insights across the market including but not confined to: biotech and pharma, mining and natural resources, battery metals, oil and gas, crypto and emerging digital and EV technologies. Use of technology Proactive has always been a forward looking and enthusiastic technology adopter. Our human content creators are equipped with many decades of valuable expertise and experience. The team also has access to and use technologies to assist and enhance workflows. Proactive will on occasion use automation and software tools, including generative AI. Nevertheless, all content published by Proactive is edited and authored by humans, in line with best practice in regard to content production and search engine optimisation. Target Corp ( NYSE:TGT ) View Price & Profile Target boosts 2026 outlook after Q2 sales and earnings beat Published: 09:02 19 Aug 2026 EDT Target Corp (NYSE:TGT) has raised its full-year outlook after reporting stronger-than-expected second quarter results. For the quarter, sales were up 5.3% year-over-year at $26.54 billion, ahead of Wall Street estimates of $26.13 billion. Comparable sales increased 3.8% year over year, while comparable traffic rose 3.6%. GAAP and adjusted earnings per share came in at $4.11, compared with $2.05 a year earlier and above the consensus estimate of $2.33. The results included $1.65 per share from tariff refund benefits. Excluding those refunds, adjusted EPS was $2.46, representing a 20% year-over-year increase. Comparable sales at Target stores grew 2.7%, while digital comparable sales increased 8.7%, led by more than 25% growth in same-day delivery. Sales increased across all six of the company's core merchandise categories, including double-digit growth in Fun 101 and high-single-digit growth in Food & Beverage and Beauty. Non-merchandise sales grew more than 20%, driven by higher revenue from Roundel advertising, Target Circle 360 memberships and the Target+ marketplace. Target also highlighted its pricing efforts, noting that it has lowered prices on more than 10,000 items over the past year while continuing to invest in merchandise selection, convenience and its shopping experience. "Second quarter results build on the encouraging momentum we saw in the first quarter, giving us increasing confidence that our strategy is resonating with our guests and strengthening our leadership position in style, design, and value," Target CEO Michael Fiddelke said in the company's earnings release. For 2026, Target now expects full-year net sales growth of around 5%, an increase of one percentage point from its previous guidance range. The company expects a full-year operating income margin rate of around 6%, including approximately 90 basis points of benefit from the second-quarter tariff refunds. Excluding the refunds, Target expects its operating margin rate to be around 50 basis points above last year's adjusted rate of 4.6%. Target also raised its full-year GAAP and adjusted EPS guidance to $9.90 to $10.90, including approximately $1.65 per share from the second-quarter tariff refunds. Excluding those benefits, the midpoint of the updated range is $0.75 above the midpoint of its previous $7.50 to $8.50 guidance. Shares of Target were set to open flat at about $152. Continue reading