TGT Stock Rises Overnight: Target Analysts Turn More Bullish, But The Turnaround Faces A Tough Test

• Telsey raised Target’s price target to $170 from $150, citing turnaround potential.
• Truist expects Q2 comparable sales to meet or exceed its 2.5% forecast. 
• Deutsche Bank said high expectations make execution and sustainable growth key tests for the company. 

Target Corp. (TGT) stock ticked higher overnight after Wall Street analysts raised their price targets ahead of the company’s second-quarter (Q2) results, showing some cautious confidence in the retailer’s recovery. Telsey set the highest target at $170, while Truist and Deutsche Bank also raised their price targets.

Telsey, Truist Raise Price Target, See Room For Further Upside 

Telsey Advisory Group lifted its price target on TGT to $170 from $150 while maintaining an ‘Outperform’ recommendation, implying a 10% upside to the stock’s last closing price. 

The firm said Target could recapture some of the business it has lost as management advances its broader turnaround effort. Telsey remains positive on the strategy but cautioned that the recovery could involve setbacks rather than follow a smooth path.

Truist also raised its price target, moving it to $147 from $130, while retaining a ‘Hold’ rating. The firm expects Target’s comparable-store performance to land around its 2.5% forecast or modestly better, based in part on information from its card-spending data. Truist also said household spending has remained resilient despite a challenging economic environment.

Target stock edged 0.2% higher overnight, ahead of Monday. 

Expectations Create A Higher Bar for Target 

Deutsche Bank increased its price target to $140 from $126 and reiterated a ‘Hold’ rating. The firm sees unusually strong investor expectations surrounding the earnings announcement. 

Deutsche Bank expects investors to look beyond Q2 and focus on whether better store operations and product selection can support steady growth through fiscal 2027. Thus, the central question now extends beyond Target’s Q2, with investors wanting evidence that recent operational improvements can translate into sustained sales momentum.

Deutsche Bank believes investors have already priced in much of Target’s recovery. Now, the retailer must show it can improve its stores, products and overall shopping experience. 

Target’s new CEO, Michael Fiddelke, took office in February. On Tuesday, the company appointed Chandhu Nair as its first chief AI officer. Target is slated to report Q2 earnings on August 19, with analysts expecting $26 billion in revenue and earnings of $2.3 per share, according to Fiscal Ai data.  

TGT Stock: Retail View 

On Stocktwits, retail sentiment around the stock remained in ‘extremely bullish’ territory. The stock has seen a 300% increase in message volume over the past week, with a 0.1% gain in watchers. 

TGT stock has gained 58% year-to-date. 

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