Target has the highest exposure to sales shifting out of the general merchandise industry.
Additionally, Target's cuts to the company's capital expenditures and advertising spending "are major disconnects with company's recently raised long-term 3% comparable sales goal," the firm added.
Target stock is down 1.42% to $82.40 in pre-market trading on Thursday.
Based in Minneapolis, Target is a retailer that offers general merchandise and food.
Separately, recently, TheStreet Ratings objectively rated this stock according to its "risk-adjusted" total return prospect over a 12-month investment horizon. Not based on the news in any given day, the rating may differ from Jim Cramer's view or that of this articles's author.
TheStreet Ratings rates this stock as a "buy" with a ratings score of A. The company's strengths can be seen in multiple areas, such as its notable return on equity, attractive valuation levels, solid stock price performance, impressive record of earnings per share growth and largely solid financial position with reasonable debt levels by most measures. We feel its strengths outweigh the fact that the company shows weak operating cash flow.
You can view the full analysis from the report here: TGT