Target Stock today released weak holiday earnings which fell short of analysts projections. Sales at Target stores dropped a full 1 percent marking the first decline in 14 quarters. Target then projected a cautious outlook for 2013 as Chief Exec Gregg Steinhaul complained that the US Economy “is growing at a painfully slow rate”.
February sales started off weak and have since picked up which is exactly what Walmart experienced as well. Walmart stock however is chugging right along after last week’s little sell-off which was as usual a Put Selling and stock buying opportunity.
So what does Target Stock look like today after dropping 3.7 percent intraday? One thing that sets Target Stores apart from Walmart is that they are also in the fashion business which right now anyway, looks poor and indeed sales figures at these types of chains for fashions reflects that weakness.
Target Stock three-month daily Chart
Target Stock has had an excellent run-up since December 31 but a lot of that run-up was based on the belief that Target sales would be strong over the holiday season.