Target

TGT Q4 2026 Earnings

Reported Mar 3, 2026 at 7:12 AM ET · SEC Source

Q4 26 EPS

$2.44

BEAT +12.96%

Est. $2.16

Q4 26 Revenue

$30.45B

BEAT +0.00%

Est. $30.45B

vs S&P Since Q4 26

+3.6%

BEATING MARKET

TGT +8.8% vs S&P +5.2%

Full Year 2026 Results

FY 26 EPS

$7.57

BEAT +3.56%

Est. $7.31

FY 26 Revenue

$104.78B

BEAT +0.00%

Est. $104.78B

Market Reaction

Did TGT Beat Earnings? Q4 2026 Results

Target delivered a stronger-than-expected bottom line in Q4 2026, with adjusted EPS of $2.44 clearing the $2.16 consensus estimate by 12.96%, even as top-line pressure persisted. Net sales of $30.45 billion matched analyst forecasts but slipped 1.5% … Read more Target delivered a stronger-than-expected bottom line in Q4 2026, with adjusted EPS of $2.44 clearing the $2.16 consensus estimate by 12.96%, even as top-line pressure persisted. Net sales of $30.45 billion matched analyst forecasts but slipped 1.5% year-over-year, reflecting an ongoing soft patch in consumer discretionary spending that weighed on comparable store sales. The standout driver of the earnings beat was margin recovery, with gross margin expanding 40 basis points to 26.6%, aided by lower inventory shrink, reduced supply chain costs, and a non-merchandise revenue surge of more than 25%, with membership revenue more than doubling. Not every category struggled; Food, Beauty, and Toys posted net sales growth, while same-day delivery via Target Circle 360 grew over 30%. Free cash flow generation also underpinned the company's 235th consecutive quarterly dividend declaration. Looking ahead, Target guided for approximately 2% net sales growth in fiscal 2026, with full-year EPS expected in the range of $7.50 to $8.50.

Key Takeaways

  • Food & Beverage, Beauty, and Toys delivered net sales growth in Q4
  • Non-merchandise sales grew over 25% with membership revenue more than doubling
  • Same-day delivery powered by Target Circle 360 grew over 30%
  • Roundel advertising delivered double-digit growth
  • Marketplace grew over 30%
  • Lower inventory shrink improved gross margin
  • Lower supply chain and digital fulfillment costs
  • Sales and traffic trends accelerated in the last two months of Q4
  • Comparable digital sales increased 1.9%

TGT Forward Guidance & Outlook

For fiscal 2026, Target expects net sales growth of approximately 2% compared with 2025, reflecting a small increase in comparable sales with new store and non-merchandise sales contributing more than one percentage point of growth. The company expects to grow net sales in every quarter of the year. Full-year 2026 operating income margin rate is expected to be approximately 20 basis points higher than the 4.6% adjusted operating income margin rate in 2025. GAAP and Adjusted EPS guidance is $7.50 to $8.50. Q1 2026 GAAP and Adjusted EPS is expected to be flat to up slightly from last year's adjusted EPS of $1.30, with stronger year-over-year EPS growth expected through the balance of the year.

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TGT YoY Financials

Q4 2026 vs Q4 2025, source: SEC Filings

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TGT Revenue by Segment

With YoY comparisons, source: SEC Filings

Q1 26 Q4 26

“I'm incredibly proud of how our team navigated through a challenging year in 2025, as they focused on serving our guests while positioning our business for profitable growth in 2026 and beyond.”

— Michael Fiddelke, Q4 2026 Earnings Press Release