ScoreWhy is Target Corp. ?
1
High Management Efficiency with a high ROCE of 26.23%
2
Strong ability to service debt as the company has a low Debt to EBITDA ratio of 1.42 times
3
Poor long term growth as Operating profit has grown by an annual rate -0.56% of over the last 5 years
4
Flat results in Jul 25
- OPERATING CASH FLOW(Y) Lowest at USD 6,386 MM
- NET PROFIT(HY) At USD 1,543.46 MM has Grown at -28.29%
- ROCE(HY) Lowest at 26.32%
5
With ROCE of 20.83%, it has a attractive valuation with a 2.05 Enterprise value to Capital Employed
- The stock is trading at a discount compared to its peers' average historical valuations
- Over the past year, while the stock has generated a return of -28.69%, its profits have risen by 0.7% ; the PEG ratio of the company is 7.1
- At the current price, the company has a high dividend yield of 351.9
6
High Institutional Holdings at 88.98%
- These investors have better capability and resources to analyse fundamentals of companies than most retail investors.
7
Consistent Underperformance against the benchmark over the last 3 years
- Along with generating -28.69% returns in the last 1 year, the stock has also underperformed S&P 500 in each of the last 3 annual periods
Real-Time Research ReportHow much should you hold?
- Overall Portfolio exposure to Target Corp. should be less than 10%
- Overall Portfolio exposure to Retailing should be less than 30%
(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Retailing)
When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock
Is Target Corp. for you?
Medium Risk, Low Return
Absolute
Risk Adjusted
Volatility
Target Corp.
36.2%
-1.02
34.16%
S&P 500
22.93%
0.70
20.15%
Quality
Management Risk
Growth
Capital StructureQuality key factors
Factor
Value
Sales Growth (5y)
2.29%
EBIT Growth (5y)
-6.67%
EBIT to Interest (avg)
12.00
Debt to EBITDA (avg)
1.42
Net Debt to Equity (avg)
0.87
Sales to Capital Employed (avg)
3.52
Tax Ratio
22.84%
Dividend Payout Ratio
55.83%
Pledged Shares
0
Institutional Holding
100.00%
ROCE (avg)
26.23%
ROE (avg)
35.94%
ValuationValuation Key Factors 
Factor
Value
P/E Ratio
16
Industry P/E
Price to Book Value
3.36
EV to EBIT
13.59
EV to EBITDA
8.14
EV to Capital Employed
2.49
EV to Sales
0.61
PEG Ratio
NA
Dividend Yield
3.81%
ROCE (Latest)
18.34%
ROE (Latest)
20.84%
TechnicalsTechnical key factors
Indicator
Weekly
Monthly
MACD
Bullish
Mildly Bullish
RSI
No Signal
No Signal
Bollinger Bands
Bullish
Bullish
Moving Averages
Bullish (Daily)
KST
Bullish
Mildly Bullish
Dow Theory
Mildly Bullish
No Trend
OBV
Mildly Bullish
No Trend
Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned 
Financial Trend6What is working for the Company
DEBT-EQUITY RATIO
(HY)
Lowest at 95.6 %
DIVIDEND PER SHARE(HY)
Highest at USD 0
DIVIDEND PAYOUT RATIO(Y)
Highest at 66.53%
RAW MATERIAL COST(Y)
Fallen by -3.64% (YoY
-5What is not working for the Company
ROCE(HY)
Lowest at 22.02%
INTEREST(Q)
Highest at USD 123 MM
Here's what is working for Target Corp.
Debt-Equity Ratio
Lowest at 95.6 % and Grown
In each half year in the last five Semi-Annual periodsMOJO Watch
The company has been reducing its borrowing as compared to equity capital
Debt-Equity Ratio
Dividend per share
Highest at USD 0 and Grown
In each year in the last five yearsMOJO Watch
Company is distributing higher dividend from profits generated
DPS (USD)
Dividend Payout Ratio
Highest at 66.53%
in the last five yearsMOJO Watch
Company is distributing higher proportion of profits generated as dividend
DPR (%)
Raw Material Cost
Fallen by -3.64% (YoY)
MOJO Watch
The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin
Raw Material Cost as a percentage of Sales
Depreciation
Highest at USD 813 MM
in the last five periodsMOJO Watch
The expenditure on assets done by the company may have gone into operation
Depreciation (USD MM)
Here's what is not working for Target Corp.
Interest
At USD 123 MM has Grown at 18.27%
period on period (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
Interest
Highest at USD 123 MM
in the last five periods and Increased by 18.27% (QoQ)MOJO Watch
Rising interest cost signifies increased borrowings
Interest Paid (USD MM)
InfinHub Market Technologies FZ-LLC, Building-2, Unit 112, Dubai Internet City, Dubai, United Arab Emirates
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