Why Target Is Poised to Outperform

Updated

Based on the aggregated intelligence of 180,000-plus investors participating in Motley Fool CAPS, the Fool's free investing community, retail giant Target (NYS: TGT) has earned a respected four-star ranking.

With that in mind, let's take a closer look at Target and see what CAPS investors are saying about the stock right now.

Target facts

Headquarters (founded)

Minneapolis (1902)

Market Cap

$39.4 billion

Industry

General merchandise stores

Trailing-12-Month Revenue

$71.9 billion

Management

Chairman/CEO Gregg Steinhafel
CFO John Mulligan

Return on Equity
(average,
past 3 years)

19.3%

Cash/Debt

$1.5 billion / $18.6 billion

Competitors

Costco (NAS: COST)
Kmart
Wal-Mart Stores (NYS: WMT)


Sources: S&P Capital IQ and Motley Fool CAPS.

On CAPS, 91% of the 2,649 members who have rated Target believe the stock will outperform the S&P 500 going forward.

Just yesterday, one of those Fools, Seattleldg, touched on the Northern tailwinds working in Target's favor:

Great store to shop in and great business to own. Expansion into Canada has increased debt and CapEx in the short term but should be a great long-term move. [Wal-Mart] is really the only similar store concept in Canada but Canadians will find Target to be far superior.

If you want market-beating returns, you need to put together the best portfolio you can. Owning exceptional stocks is a surefire way to secure your financial future. Of course, despite a strong four-star rating, Target may not be your top choice.

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The article Why Target Is Poised to Outperform originally appeared on Fool.com.

Brian Pacampara has no position in any stocks mentioned. The Motley Fool recommends Costco Wholesale. The Motley Fool owns shares of Costco Wholesale. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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