Target Corp (TGT): Today's Featured Retail Winner

Editor's Note: TheStreet ratings do not represent the views of TheStreet's staff or its contributors. Ratings are established by computer based on metrics for performance (which includes growth, stock performance, efficiency and valuation) and risk (volatility and solvency). Companies with poor cash flow or high debt levels tend to earn lower ratings in our model

Target ( TGT) pushed the Retail industry higher today making it today's featured retail winner. The industry as a whole closed the day up 1.0%. By the end of trading, Target rose $1.55 (2.2%) to $71.05 on average volume. Throughout the day, 5,782,986 shares of Target exchanged hands as compared to its average daily volume of 4,494,900 shares. The stock ranged in a price between $69.44-$71.13 after having opened the day at $69.50 as compared to the previous trading day's close of $69.50. Other companies within the Retail industry that increased today were: Orchard Supply Hardware ( OSH), up 57.4%, Core-Mark Holding Company ( CORE), up 4.6%, Pantry ( PTRY), up 4.4% and U.S. Auto Parts Network ( PRTS), up 4.0%.
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Target Corporation operates general merchandise stores in the United States. Target has a market cap of $44.8 billion and is part of the services sector. The company has a P/E ratio of 16.4, below the S&P 500 P/E ratio of 17.7. Shares are up 17.5% year to date as of the close of trading on Friday. Currently there are 11 analysts that rate Target a buy, no analysts rate it a sell, and 7 rate it a hold.

TheStreet Ratings rates Target as a buy. The company's strengths can be seen in multiple areas, such as its good cash flow from operations, largely solid financial position with reasonable debt levels by most measures and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had sub par growth in net income.

On the negative front, Alon Blue Square Israel ( BSI), down 8.8%, Acorn International ( ATV), down 8.0%, Natural Grocers by Vitamin Cottage ( NGVC), down 4.0% and Stage Stores ( SSI), down 2.5% , were all laggards within the retail industry with GNC Acquisition Holdings ( GNC) being today's retail industry laggard.

For investors not wanting singular stock exposure, ETFs may be of interest. Investors who are bullish on the retail industry could consider SPDR S&P Retail ETF ( XRT) while those bearish on the retail industry could consider ProShares Ultra Sht Consumer Goods ( SZK).

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