Target Stock Down 24% in Pre-Market Trading

dandh

HR Legend
Gold Member
Nov 11, 2002
18,802
7,813
113
Twin Cities MN
That is breathtaking. Inflation/costs are substantially damaging its bottom line. Still too early to tell, but the economy might be in real trouble.

And JP Morgan thinks gas prices may increase 37% more over the summer. Oof.
 
Last edited:
  • Like
Reactions: SIXERS24

Capital1Hawk

HR All-American
Jan 23, 2007
3,426
1,782
113
If it drops that far it’s time to buy.

their business model isn’t broken and target is great to escape the freak show at Walmart.
I would wait and see before buying. This can't be the floor. Hope whoever had TGT had stop losses in place. I've been burned before on large holdings without them. I'm watching Apple with all that cash and dropping 20 points in the last 3 months,
 
  • Like
Reactions: dandh

onlyTheObvious

HR Heisman
Jan 3, 2021
5,562
6,492
113
I would wait and see before buying. This can't be the floor. Hope whoever had TGT had stop losses in place. I've been burned before on large holdings without them. I'm watching Apple with all that cash and dropping 20 points in the last 3 months,
If you want to make a buck quickly, yes wait.

if you are a true believer and buy and hold. I would grab some. There is Target and Walmart for the big box stores. It isn’t like they are going away. Other retailers should be seriously worried. A place like Scheels which IMO is overpriced to begin with and a place for people serious about their outdoor sports likely don’t shop at anyway.

I am a true believer in Apple. I buy and I hold it. This is free money to buy Apple now. They beat all expectations in the last quarter. Apple makes about the only product people will pay a premium for and are willing to wait to get it. They will not settle for a substitute.
 
Last edited:

NCHawk5

HR Heisman
Gold Member
Aug 7, 2019
7,581
5,472
113
If it drops that far it’s time to buy.

their business model isn’t broken and target is great to escape the freak show at Walmart.
I disagree. Going to target stores around here is basically the same as wal mart. Customer service sucks, long lines checking out, sketchy people everywhere. Higher prices for the same awful experience.
 

Hondo_11

HR All-State
Mar 15, 2022
573
432
63
That is breathtaking. Inflation/costs are substantially damaging its bottom line. Still too early to tell, but the economy might be in real trouble.

And JP Morgan thinks gas prices may increase 37% more over the summer. Oof.
Let's go Brandon!! Not to mention, libs in general think Target workers need to make $100k, have Cadillac health care and 370 days per year of paid family leave!
 

onlyTheObvious

HR Heisman
Jan 3, 2021
5,562
6,492
113
I disagree. Going to target stores around here is basically the same as wal mart. Customer service sucks, long lines checking out, sketchy people everywhere. Higher prices for the same awful experience.
Most of my in person purchases are ALDIs.

I pretty much online the rest. But even Amazon is sucking it.

no idea but could military ships or national guard help any with ports/international shipping?
 

NCHawk5

HR Heisman
Gold Member
Aug 7, 2019
7,581
5,472
113
Most of my in person purchases are ALDIs.

I pretty much online the rest. But even Amazon is sucking it.

no idea but could military ships or national guard help any with ports/international shipping?
You serious? Not in any meaningful/efficient way. Idk what the answer is, but I’m pretty certain the people in charge of fixing the problem (at the fed level) are not qualified to do so.
 
  • Love
Reactions: Hondo_11

NCHawk5

HR Heisman
Gold Member
Aug 7, 2019
7,581
5,472
113
I don’t know. But if I was in the White House I would be spitballing any and all ideas to experts in the fields to generate conversation on possible courses of action.
Yeah it would be lovely to see the appearance of effort at a minimum.
 
  • Like
Reactions: hawkcub

dandh

HR Legend
Gold Member
Nov 11, 2002
18,802
7,813
113
Twin Cities MN
If you want to make a buck quickly, yes wait.

if you are a true believer and buy and hold. I would grab some. There is Target and Walmart for the big box stores. It isn’t like they are going away. Other retailers should be seriously worried. A place like Scheels which IMO is overpriced to begin with and a place for people serious about their outdoor sports likely don’t shop at anyway.

I am a true believer in Apple. I buy and I hold it. This is free money to buy Apple now. They beat all expectations in the last quarter. Apple makes about the only product people will pay a premium for and are willing to wait to get it. They will not settle for a substitute.

Trend Analysis​

TGT appears to be in a strong bearish trend. Both the 200-day moving average and MACD histogram are falling. Comparative Relative Strength analysis shows that this issue is lagging the S&P 500.

And it's down 25 % right now, with a P/E of 15.5. If you buy it now you are much braver than me.
 

Hondo_11

HR All-State
Mar 15, 2022
573
432
63
You serious? Not in any meaningful/efficient way. Idk what the answer is, but I’m pretty certain the people in charge of fixing the problem (at the fed level) are not qualified to do so.
Why would they fix it....they're purposely phucking causing it!?
 

onlyTheObvious

HR Heisman
Jan 3, 2021
5,562
6,492
113
Target will cut costs. Starting with a bunch of people in multilayers of middle management working from home doing “analysis” “marketing research”.

easy to eject.

it amazes me the money huge corporations waste on advertising. I think everybody knows Walmart and Target are places to drive to and you buy shit. Target and Walmart make nothing. Let the suppliers advertise their shit.

Tesla does quite well and doesn’t spend a dime on advertising.
 
  • Like
Reactions: THE_DEVIL

Nole Lou

HR All-American
Apr 5, 2002
4,439
9,666
113
That is breathtaking. Inflation/costs are substantially damaging its bottom line. Still too early to tell, but the economy might be in real trouble.

And JP Morgan thinks gas prices may increase 37% more over the summer. Oof.

For those of you anticipating the worst, I assume you have a lot of money out of the market?

Obviously, not trying to accurately time the market, but what kinds of things are you looking for, and what kind of time horizon, before going back in? Are you going to give it up to a couple years, with all the predictions of a recession in 2023?

Just wondering how you approach it.
 

Hondo_11

HR All-State
Mar 15, 2022
573
432
63
For those of you anticipating the worst, I assume you have a lot of money out of the market?

Obviously, not trying to accurately time the market, but what kinds of things are you looking for, and what kind of time horizon, before going back in? Are you going to give it up to a couple years, with all the predictions of a recession in 2023?

Just wondering how you approach it.
Energy..energy..energy! Look what energy is doing in the collapsing "stock market." Even without the supply issues at hand, energy always outperforms the market as a whole in times of inflation....it's like a perfect storm right now. Look at natural gas. Aside from what I just mentioned, it has the "cleaner" angle!
 

hwk23

HR All-American
Nov 22, 2010
3,780
1,492
113
WMT also had its worst day since the 1980’s yesterday. Down another 5% today. The ex-CEO called a 32% rise in inventory “apocalyptic”. He said 8% is considered in the horrible range.
 

Capital1Hawk

HR All-American
Jan 23, 2007
3,426
1,782
113
For those of you anticipating the worst, I assume you have a lot of money out of the market?

Obviously, not trying to accurately time the market, but what kinds of things are you looking for, and what kind of time horizon, before going back in? Are you going to give it up to a couple years, with all the predictions of a recession in 2023.

Just read that this is the most cash sidelined since 9/11 aftermath.
I'm sitting on the most cash I've ever set on ~ 85%. Knowing I'm losing value from inflation but purchase near the bottom. I don't need the money now and made some easy $ post covid and took gains.. The 2020/2021 Fed pump is catching up with itself and will get back down to pre 2021 levels. I'm buying back in at $30k DJIA and $10k Nasdaq. I just hope this recession only lasts a few years and it's not as bad as 08'. Biden's 3rd year is going to be ugly.
 

Titus Andronicus

HR Legend
Gold Member
Sep 26, 2002
11,602
2,781
113
75
Las Vegas, NV
Does anyone know if they (TGT) own their real estate? If so, there must be massive unrealized profits stored there. Perhaps they could sell some stores and book the gains ... a lot of stores perhaps?

Or ... have they already done some of this stuff?

..........................................

The stock is still at 16 times earnings, at 8 times book value, and 10 times cash flow, which seems high to me for a company that is growing same store sales at 3-4% ... unless they do actually own a huge Real Estate portfolio that could be monetized.

.............................

Edit:

I just scanned the earnings reports and came upon this:

"During the first quarter of 2022, the Company entered into an Accelerated Share Repurchase (ASR) arrangement for up to $2.75 billion of common stock, with final settlement outstanding as of the end of the first quarter.

Additionally, the Company repurchased $10.0 million worth of its shares in first quarter 2022, retiring 0.1 million shares of common stock at an average price of $208.60. As of the end of the first quarter, excluding the outstanding ASR of $2.75 billion, the Company had approximately $12.3 billion of remaining capacity under the repurchase program approved by Target's Board of Directors in August 2021."


In my view, share repurchase programs when your stock is inflated is insane. This seldom works out.

(They should have been doing the opposite, (selling new shares). which would have the effect of increasing book value, and at the same time building a war chest of cash (Which they will need when they decide to start building condos).
 
Last edited:

Nole Lou

HR All-American
Apr 5, 2002
4,439
9,666
113
Does anyone know if they (TGT) own their real estate? If so, there must be massive unrealized profits stored there. Perhaps they could sell some stores and book the gains ... a lot of stores perhaps?

Or ... have they already done some of this stuff?

..........................................

The stock is still at 16 times earnings, at 8 times book value, and 10 times cash flow, which seems high to me for a company that is growing same store sales at 3-4% ... unless they do actually own a huge Real Estate portfolio that could be monetized.

I wonder. Where I am, the vast majority of Targets are in large retail plazas. Even if they owned it, who's buying? Who's going to make a better go of a big box than Target.

Stand alone stores that could become condos, would be a different story.
 

HawkRCID

HR All-American
Nov 7, 2018
3,630
6,416
113
Is anyone surprised by this? Stock market has been completely detached from reality since Trump fiscal policies and the tax act.

This is just reality calling in its debt. And the person talking about Tesla doing well, they’re down 40% YTD….
 

Titus Andronicus

HR Legend
Gold Member
Sep 26, 2002
11,602
2,781
113
75
Las Vegas, NV
I wonder. Where I am, the vast majority of Targets are in large retail plazas. Even if they owned it, who's buying? Who's going to make a better go of a big box than Target.

Stand alone stores that could become condos, would be a different story.
I agree completely. Condos would be the ticket, but getting from here to there in a speculative real estate market would be a tricky proposition.
 

onlyTheObvious

HR Heisman
Jan 3, 2021
5,562
6,492
113
Is anyone surprised by this? Stock market has been completely detached from reality since Trump fiscal policies and the tax act.

This is just reality calling in its debt. And the person talking about Tesla doing well, they’re down 40% YTD….
Tesla from the standpoint of selling cars. My point was their lack of advertising hasn’t hurt them at all. Meanwhile we have GM, spending millions on electric Hummer commercials that you still can’t buy 18+ months later.
 

hwk23

HR All-American
Nov 22, 2010
3,780
1,492
113
AMZN also down 5.5% today. Considering the WMT and TGT earnings, it makes me wonder if Bezos knows it's worse behind the scenes, and that sparked the twitter back and forth with Biden. AMZN is down about 35% YTD.
 
  • Like
Reactions: Capital1Hawk

Capital1Hawk

HR All-American
Jan 23, 2007
3,426
1,782
113
AMZN also down 5.5% today. Considering the WMT and TGT earnings, it makes me wonder if Bezos knows it's worse behind the scenes, and that sparked the twitter back and forth with Biden. AMZN is down about 35% YTD.
We are damned. With higher interest rates there is no way we can service our debt. The interest as a % of tax revenue collected will be as much as military, SS or Medicare and doesn't even reduce the debt. We are insolvent. The low rates have punted on this debt obligation for way too long. Time to rip the bandaid. Idiots in charge on both sides spend way too much and it's only a matter of time before we all suffer.
 

IsaacHarrison

HR MVP
May 9, 2005
2,474
725
113
I wonder. Where I am, the vast majority of Targets are in large retail plazas. Even if they owned it, who's buying? Who's going to make a better go of a big box than Target.

Stand alone stores that could become condos, would be a different story.
I think it would be more of a lease back situation.
 

bhawk24bob

HR Legend
Jul 8, 2001
17,026
4,533
113
AMZN also down 5.5% today. Considering the WMT and TGT earnings, it makes me wonder if Bezos knows it's worse behind the scenes, and that sparked the twitter back and forth with Biden. AMZN is down about 35% YTD.

I think what you're seeing with that twitter spat is Biden and our lawmakers having one of the same issues that Putin is having, they're all wildly underestimating the power of social media and the limits of their power due to it. This isn't going to be a stock market crash or a bank run with George Bailey counting peoples' savings. Nobody's going to bend over and grab their ankles as they watch their savings and investments go up in smoke because we have a bunch of morons at all levels of government
 
  • Sad
Reactions: hwk23

IA_HAWKI

HR MVP
Dec 1, 2021
1,264
2,257
113
Target is the only store in my area that i go to that has struggled to keep shelves full. Has been a problem since the pandemic began 2 years ago.

i used to stop at target 2-3 times a week, Over the last 7-8 months i have been there 8-10 times.
 

Hondo_11

HR All-State
Mar 15, 2022
573
432
63
We are damned. With higher interest rates there is no way we can service our debt. The interest as a % of tax revenue collected will be as much as military, SS or Medicare and doesn't even reduce the debt. We are insolvent. The low rates have punted on this debt obligation for way too long. Time to rip the bandaid. Idiots in charge on both sides spend way too much and it's only a matter of time before we all suffer.
Weird...there are folks on this very board telling us the amazing Brandon and company, has the deficit declining?! The old boy himself even tried to sputter that lie out himself the other day, but then he started to choke on his pudding! Nevertheless, someone needs to tell the GAO to get this clock fixed > https://www.usdebtclock.org/
 

An Iowa fan

HR MVP
Dec 12, 2019
1,539
1,369
113
The SPX is trying to fill the gap it left last Friday morning on the gap up. Markets like to fill gaps. Needs about 3934 to fill it. Let's see what happens after that.