UBS Has Very Positive Views on Big Retail (COST, TGT, WMT)

UBS frequently does not offer price targets, so we have included the consensus price targets from Thomson Reuters versus Monday’s closing price. In this particular report, the firm did offer price targets, and we would note that the targets are above-consensus in all three cases.

Costco Wholesale Corp. (NASDAQ: COST) was started as Buy with a street-high $121 price target. Shares closed at $104.21 on Monday and the consensus target price is $108.05. Costco’s common dividend is only 1% at the current level.

Target Corp. (NYSE: TGT) was given only a Neutral rating and $75 price target. Shares are at $68.48, and the consensus price target is $71.89. Target pays a 2.1% dividend yield. Be advised that Target reported earnings this morning and shares are down just over 1% as guidance is apparently a tad short of estimates.

Wal-Mart Stores Inc. (NYSE: WMT) also was started with a Buy rating and with an $89 price target. Be advised that this is a street-high price target, as the prior high is listed as $88 on the retail giant. Shares are at $78.47, the consensus price target is only $79.11, and the dividend is higher than the others at 2.4%.