Stock Traders Buy High Volume of Call Options on Target (NYSE:TGT)

Target Corporation (NYSE:TGT) was the target of unusually large options trading on Tuesday. Stock investors purchased 328,752 call options on the company. This represents an increase of approximately 408% compared to the typical volume of 64,730 call options.

Target Stock Up 1.1%

Shares of Target stock opened at $114.53 on Thursday. Target has a 1-year low of $83.44 and a 1-year high of $131.70. The company has a market capitalization of $51.86 billion, a PE ratio of 13.90, a P/E/G ratio of 11.59 and a beta of 1.14. The company has a debt-to-equity ratio of 0.99, a current ratio of 0.97 and a quick ratio of 0.27. The business has a 50-day moving average of $103.11 and a 200-day moving average of $96.80.

Target (NYSE:TGT) last released its quarterly earnings results on Wednesday, November 19th. The retailer reported $1.78 EPS for the quarter, topping the consensus estimate of $1.71 by $0.07. Target had a return on equity of 22.74% and a net margin of 3.58%.The business had revenue of $25.27 billion for the quarter, compared to analysts’ expectations of $25.44 billion. During the same quarter in the previous year, the firm posted $1.85 earnings per share. The company’s revenue was down 1.6% compared to the same quarter last year. Target has set its FY 2025 guidance at 7.000-8.000 EPS. As a group, equities analysts forecast that Target will post 8.69 EPS for the current fiscal year.

Target Dividend Announcement

The business also recently declared a quarterly dividend, which will be paid on Sunday, March 1st. Investors of record on Wednesday, February 11th will be paid a $1.14 dividend. This represents a $4.56 dividend on an annualized basis and a dividend yield of 4.0%. The ex-dividend date is Wednesday, February 11th. Target’s payout ratio is 55.34%.

Institutional Inflows and Outflows

Several hedge funds have recently added to or reduced their stakes in the stock. WFA of San Diego LLC bought a new position in shares of Target during the second quarter worth about $25,000. Jessup Wealth Management Inc acquired a new stake in Target during the fourth quarter valued at approximately $25,000. Heartwood Wealth Advisors LLC bought a new position in Target during the 3rd quarter worth approximately $27,000. Global Wealth Strategies & Associates grew its position in shares of Target by 192.0% in the 4th quarter. Global Wealth Strategies & Associates now owns 292 shares of the retailer’s stock worth $29,000 after acquiring an additional 192 shares in the last quarter. Finally, Eagle Bay Advisors LLC bought a new stake in shares of Target in the 4th quarter valued at approximately $30,000. 79.73% of the stock is owned by institutional investors and hedge funds.

Wall Street Analysts Forecast Growth

A number of brokerages have weighed in on TGT. DA Davidson set a $120.00 price target on shares of Target in a research report on Monday, January 12th. BMO Capital Markets cut their target price on shares of Target from $95.00 to $90.00 and set a “market perform” rating on the stock in a research note on Thursday, November 20th. Robert W. Baird reduced their target price on shares of Target from $100.00 to $92.00 and set a “neutral” rating on the stock in a report on Thursday, November 20th. Royal Bank Of Canada decreased their price target on shares of Target from $107.00 to $99.00 and set an “outperform” rating for the company in a research report on Thursday, November 20th. Finally, Piper Sandler reissued a “neutral” rating and issued a $85.00 price objective (down from $94.00) on shares of Target in a research report on Thursday, November 20th. Ten research analysts have rated the stock with a Buy rating, twenty-one have given a Hold rating and three have issued a Sell rating to the stock. According to MarketBeat.com, Target presently has an average rating of “Hold” and a consensus target price of $103.20.

Key Target News

Here are the key news stories impacting Target this week:

• Positive Sentiment: Company announced a broad executive leadership reset under new CEO Michael Fiddelke designed to sharpen merchandising and operations, and it reaffirmed Q4 financial guidance — a direct signal management is prioritizing execution and growth. Target Announces Executive Leadership Changes to Accelerate Growth, Confirms Q4 Financial Guidance
• Positive Sentiment: Target promoted longtime executive Lisa Roath to head of operations — an insider appointment that reduces execution risk and signals continuity while the company pursues a sales revival. Target appoints insider Lisa Roath as operations head
• Positive Sentiment: Analysts at Jefferies called the leadership refresh “directionally positive,” saying the changes could improve execution and strategic momentum — third‑party validation that the market may view the moves as substantive. Target leadership refresh could boost execution, Jefferies says
• Positive Sentiment: Unusual options flow: investors bought ~328,752 call contracts (≈408% above average), indicating speculative bullish positioning that can amplify intraday upside and signal confidence among derivatives traders.
• Neutral Sentiment: Coverage pieces and valuation checks (Zacks) are assessing whether TGT is undervalued; these analyses may influence longer‑term flows but are not immediate catalysts. Is Target (TGT) Stock Undervalued Right Now?
• Neutral Sentiment: Target is pushing marketing and assortment initiatives (largest Spring beauty assortment; NYFW event at SoHo store) — positive for brand/traffic but more of a medium‑term merchandising play than an immediate earnings catalyst. Jodie Turner-Smith, Rachel Zoe, Ciara Miller…Glow at The Spring Beauty Studio at Target SoHo during NYFW
• Negative Sentiment: Telsey Advisory Group reaffirmed a “market perform” rating with a $110 price target (below current levels), a reminder that some analysts remain cautious on near‑term upside and could cap momentum. Telsey Advisory Group reaffirms market perform, $110 PT
• Negative Sentiment: Macro retail data (December retail sales came in flat, missing estimates) is a sector headwind that raises questions about discretionary spend and could pressure comparable‑store trends if softness persists. Lackluster Retail Sales Data Stalls 2 Industry Giants

Target Company Profile

Target Corporation (NYSE: TGT) is a U.S.-based general merchandise retailer headquartered in Minneapolis, Minnesota. The company operates a network of full-line and small-format stores across the United States alongside a national e-commerce platform and mobile app. Target’s retail assortment spans apparel, home goods, electronics, groceries and household essentials, plus beauty, baby and pet categories. The firm complements national brands with a portfolio of owned and exclusive labels and partnerships that help differentiate its merchandise assortment.

Target traces its roots to the Dayton Company, founded by George Dayton in 1902; the Target discount chain was launched in 1962 and the parent company later adopted the Target Corporation name.