The Trader Harbor
  • Business
  • Politics
  • World News
  • Stocks
  • Business
  • Politics
  • World News
  • Stocks

The Trader Harbor

Business

Target stock falls 21% as big discounting effort falls short

by admin November 21, 2024
November 21, 2024
Target stock falls 21% as big discounting effort falls short

Target reported earnings Wednesday that came in far below Wall Street’s expectations, something the big-box retailer attributed to slower than expected demand.

The company announced profits that fell short of forecasts by 20%, its widest miss in two years. Revenues, meanwhile, came in under expectations for the first time in more than a year.

Target’s stock, as a result, fell more than 21% Wednesday.

The discouraging results came despite a heavily touted campaign to discount thousands of items, as well as a pushed-up holiday sale.

On a call with reporters, Target CEO Brian Cornell blamed the dismal quarter on “lingering softness in discretionary categories,” as well as costs associated with preparing for the short-lived port strike in October.

Target Chief Operating Officer Michael Fiddelke added that it was “disappointing that a deceleration in discretionary demand combined with some cost pressures have caused us to take our guidance back down after raising it last quarter.”

The company lowered its profit and sales goals for the year, though Fiddelke said Target feels confident in its long-term outlook.

Broader stock trading did not immediately react, however, as Wall Street awaits earnings from chipmaker Nvidia, which has helped power the market higher throughout the year. Yet, combined with other indicators like slower holiday hiring, it could be a signal that sales for the all-important final calendar quarter could be softer than hoped.

Target’s report comes a day after rival Walmart reported earnings and revenues that beat expectations.

Yet, even Walmart noted that customers were still holding back in many cases for compelling deals, especially as the cost of food has risen.

“We’re expecting this holiday period to be very consistent with that,” Walmart Chief Financial Officer John David Rainey told CNBC. “They’re focused on price and value.”


This post appeared first on NBC NEWS

0
FacebookTwitterGoogle +Pinterest
previous post
Dental supply stock surges on RFK’s anti-fluoride stance, activist involvement
next post
Jaguar reveals glossy rebrand that features no cars and confuses the internet

Related Posts

Volkswagen braces for showdown with unions after warning...

September 4, 2024

Recalled cucumbers linked to at least 449 illnesses...

August 17, 2024

Kroger chairman and CEO resigns following investigation into...

March 4, 2025

UAW, U.S. dealers increase criticism of Stellantis CEO...

September 14, 2024

Bumble shares jump 26% as dating company plans...

June 27, 2025

Lululemon shares drop 15% as CEO says inflation,...

March 29, 2025

Sam Bankman-Fried sentenced to 25 years in prison...

March 29, 2024

Here’s where rents are rising — and where...

May 22, 2024

See inside Ford’s new tech campus, a century-old...

June 4, 2024

Disney to combine its Hulu+ Live TV with...

January 7, 2025

    Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.


    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Latest

    • Rhode Island’s ‘Taylor Swift Tax’ on vacation homes of the wealthy is spreading to other states

      September 2, 2025
    • The Real Drivers of This Market: AI, Semis & Robotics

      September 2, 2025
    • S&P 500 Breaking Out Again: What This Means for Your Portfolio

      September 2, 2025
    • Bernie Sanders calls for RFK Jr. to resign as HHS secretary over vaccine policies: ‘Rally the American people’

      September 2, 2025
    • Rhode Island’s ‘Taylor Swift Tax’ on vacation homes of the wealthy is spreading to other states

      September 2, 2025
    • The Real Drivers of This Market: AI, Semis & Robotics

      September 1, 2025

    Categories

    • Business (1,371)
    • Politics (4,373)
    • Stocks (1,623)
    • Uncategorized (45)
    • World News (1,364)
    • About us
    • Contact us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: TheTraderHarbor, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 thetraderharbor.com | All Rights Reserved