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Bartosiak: Trading Target's (TGT) Earnings with Options

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On Wednesday May 17th, Target (TGT - Free Report) will release its first quarter earnings results before the bell. The company is a Zacks Rank 3 (Hold), and have a Value, Growth, and Momentum score of A.

In our video David will take a look at the current state of Target, their past earnings announcements, and he’ll give us his thoughts on their upcoming earnings call. Furthermore, David will also give us insight on how to play the options market.

Target in Focus

Target Corporation operates large-format general merchandise and food discount stores in the United States, which include Target and SuperTarget stores. They offer both everyday essentials and fashionable, differentiated merchandise at exceptional prices. Their ability to deliver a shopping experience that is preferred by their guests is supported by their strong supply chain and technology infrastructure. They operate as a single business segment. Their credit card operations represent an integral component of their core retail business. They also operate a fully integrated online business, Target.com. Although Target.com is small relative to their overall size, its sales are growing at a much more rapid pace than their in-store sales, and it provides important benefits to their stores and credit card operations.

Target is expected to report earnings at $0.89 per share according to the Zacks Consensus Estimate. Last quarter they reported earnings at $1.45, missing expectations by $0.05. Their average EPS surprise is 9.34%.

Target Corporation Price, Consensus and EPS Surprise

Target Corporation Price, Consensus and EPS Surprise | Target Corporation Quote

Bottom Line

How should investors play Target ahead of their earnings report? For insights on the best options trades, then tune in 10:00 am tomorrow to see David’s thoughts.

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