Target "buy," estimates reduced

23.08.07 - Lazard Capital Markets

NEW YORK, August 23 (newratings.com) - Analysts at Lazard Capital maintain their "buy" rating on Target Corp (TGT), while reducing their estimates for the company. The target price is set to $71.

In a research note published yesterday, the analysts mention that the company has reported its 2Q EPS ahead of the estimates and in-line with the consensus. Target?s earnings were boosted by robust credit-card earnings growth, which is expected to continue at least through 1H08, the analysts say. The EPS estimates for FY07 and FY08 have been reduced from $3.68 to $3.65 and from $4.20 to $4.18, respectively, to reflect more conservative comp-store sales expectations.