Target sales accelerate to $25.4B as digital strategy drives growth
Target (NYSE:TGT) reported its financial results for the first quarter of 2026, delivering an uptick in both consumer traffic and digital transaction volumes that allowed the retailer to elevate its full-year commercial projections.
Total net sales for the quarter reached $25.4 billion, representing a 6.7% increase compared to the same period in 2025.
The growth was supported by broad-based consumer demand, with overall comparable sales advancing 5.6% year-over-year.
Target’s e-commerce channels served as a primary growth vector, as digital comparable sales expanded by 8.9% for the three-month period.
The Minneapolis-based retailer posted first-quarter operating income of $1.1 billion, yielding an operating margin of 4.5%.
Gross profit margin for the period stood at 29%, reflecting stable inventory levels and effective cost management amidst shifting consumer product preferences.
Net earnings per share settled at $1.71 on both a GAAP and adjusted basis.
On the strength of the first-quarter performance, Target revised upward its full-year financial outlook for the remainder of 2026.
The company now expects full-year net sales growth to land around 4%, improving upon its previous baselines.
Furthermore, management indicated that full-year adjusted earnings per share are tracking toward the upper boundary of its previously established guidance range of $7.50 to $8.50.
