The retailer lifted its full-year guidance as traffic and digital growth drove first-quarter results above expectations.
Target reported first-quarter net sales of $25.4 billion, up 6.7% year-over-year, exceeding analyst expectations. Comparable sales rose 5.6%, supported by a 4.4% increase in traffic and gains across both physical stores and digital channels.
The company cited early success in merchandising adjustments, particularly in beauty, food, wellness, and baby categories, alongside exclusive product launches. Prior-year sales growth was 3.2%, with consensus estimates calling for a 4.5% rise in the latest quarter.
Target raised its full-year sales growth forecast to around 4% and expects earnings per share near the high end of its $7.50 to $8.50 range. Executives noted the turnaround remains in early stages, with tougher comparisons ahead.