Target vs Wal-Mart Stock Earnings! Which To Pick For 2021? In this video I cover briefly which stock I would choose to play for earnings.
Walmart and Target earnings: What to know this week Quarterly earnings results will include big box retailers Target (TGT) and Walmart (WMT), which will provide investors with more information on consumer spending trends during the COVID-19 pandemic recovery.
New economic data on housing starts, building permits and existing home sales will also offer an update on the state of the housing market, which has started to cool as mortgage interest rates tick up and inventory tightens. Walmart has been one of the major beneficiaries of pandemic-era pantry-loading trends, and sales have also received boosts from multiple rounds of government-issued stimulus checks.
Walmart reported record fourth-quarter and full-year sales in February, with U.S. comparable same-store sales up 8.6% in the final three months of 2020, accelerating over the prior quarter. Meanwhile, peer big box retailer Target is also slated to report results this week. Like Walmart, Target's first-quarter results have the disadvantage of lapping last year's exceptionally strong figures.
However, Target —with its wide range of discretionary goods available for sale — may have caught a biggest boost from the January and March stimulus check disbursements than Walmart did. Consensus analysts expect Target's revenue grew 11% to $21.49 billion in the first three months of the year, slowing from the fourth quarter's 21% growth rate but matching the rise from the same three months of last year.
Target has also seen consistently larger growth in e-commerce sales than Walmart has over the course of the pandemic. Digital comparable sales grew at a year-over-year rate of as much as 195% in the second quarter of 2020, marking the fastest increase in company history. Those growth rates have moderated somewhat in the months since, but not by much – Target last reported a 118% jump in digital sales for its final three months of 2020.
While Target declined to offer full-year guidance, CEO Brian Cornell did offer some commentary around shopping trends at the start of the year, suggesting a pick-up in in-person shopping but a continuation of some purchasing trends from the pandemic. https://finance.yahoo.com/news/walmart-and-target-earnings-housing-data-what-to-know-this-week-153636806.html#target#walmart#retailstock#stockmarket