TGT – Market expectations are for Uniform ROA stability, and management is confident about growth, initiatives, and their Toys and Baby segments

• Target Corporation (TGT:USA)currently trades above recent averages relative to UAFRS-based (Uniform) Earnings with a 19.8x Uniform P/E. At these levels, the market is pricing in expectations for the firm to see profitability stabilize near recent levels, and management is confident about their ability to maintain growth in 2019, the roll out of their delivery from store service, and tailwinds from the closure of Toys “R” Us
• Management is confident that they are prepared for continued growth in 2019, and about the roll out of their new delivery from store service in dense urban markets. Also, they are confident in their ability to return capital to shareholders, and in their expectations for stronger sales in their Toys and Baby categories, due to the recent closures of Toys “R” Us and Babies “R” Us. Additionally, they are confident that they’ve been carefully monitoring recent tariff announcements, and that they provide customers with great transparency and simplicity of pricing, both in stores, and online