Target (TGT) Stock Climbing After Selling Pharmacy, Clinics for $1.9 Billion

NEW YORK (TheStreet) -- Shares of Target Corp  (TGT) were climbing, higher by 0.67% to $80 in pre-market trading Monday, after the big box retailer agreed to sell its pharmacy and clinic businesses to CVS Health (CVS) for roughly $1.9 billion.

TheStreet's Jim Cramer, Portfolio Manager of theAction Alerts PLUS Charitable Trust Portfolio says, "Here's a win for everyone. Plenty of new customers for CVS. Plenty of traffic and bucks up front for Target."

"Both stocks should run even with Greece gumming up the works! " he added.

CVS will buy more than 1,660 Target pharmacies in 47 states.

The two companies said the pharmacies and clinics will be run through a store-within-a-store format, and will remain in Target stores under the CVS brand.

Minneapolis-based Target is a retailer that provides differentiated merchandise at discounted prices.

Insight from TheStreet's Research Team:

Bryan Ashenberg and Bob Lang, Portfolio Co-managers mentioned Target on TrifectaStocks.com. Here's a snippet of what they had to say in a recent post:

This morning, news hit that model portfolio holding CVS Health (CVS) will acquire Target's (TGT) pharmacy and health clinic businesses for about $1.9 billion.

CVS will operate the stores as a store within a store, and rebrand Target's health clinics as MinuteClinics. The companies also agreed to jointly develop five to 10 small, flexible format stores over a two-year period that will be branded as a TargetExpress store and include a CVS pharmacy.

- Bryan Ashenberg and Bob Lang, ' The Target Deal Is Bullish for CVS ' originally published 6/15/2015 on TrifectaStocks.com.

Want more information like this from Bryan Ashenberg and Bob Lang BEFORE your stock moves? Learn more about TrifectaStocks.com now.

Separately, TheStreet Ratings team rates TARGET CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:

You can view the full analysis from the report here: TGT Ratings Report

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