Target's sales and profits fall, but beat Wall Street predictions

Target Corp. (TGT) sales and profits fell in the second quarter, but stronger profit margins at its stores helped the cheap-chic discounter beat analysts' expectations.

Target posted net income of $594 million for the second quarter, down from $634 million last year. Earnings per share dropped 3.9 percent to 79 cents from 82 cents a year ago. Revenue was down 2.6 percent to $15.07 billion. Analysts had forecast earnings of 66 cents per share on revenue of $15.15 billion.