Target (TGT) Q1 2025 earnings

Target will report its fiscal first-quarter earnings Wednesday, as the Minneapolis-based cheap chic retailer tries to get back to growth.

Here’s what Wall Street is expecting for the discounter, according to a survey of analysts by LSEG:

• Earnings per share: $1.64 expected
• Revenue: $24.32 billion expected

Target’s earnings report will follow updates from other retailers, including Walmart and Home Depot. Both of the big-box retailers reaffirmed their full-year outlooks when reporting quarterly earnings. Yet the two companies diverged with how they will manage higher costs from tariffs. Walmart warned that it will have to raise prices for customers as soon as later this month because of the duties. Home Depot, on the other hand, said it isn’t planning to hike prices.

For Target, however, tariffs are not the only challenge. The discounter’s annual revenue has been roughly flat for four years in a row. Sales have been weaker in many of the discretionary categories that the retailer is known for, such as home decor, as consumers are selective and cautious about spending. And the company has faced backlash from shoppers — and pressure from activists including the Rev. Al Sharpton — for rolling back key diversity, equity and inclusion initiatives.

Target said in February that it expected “meaningful year-over-year profit pressure” in its first quarter compared with the rest of the year because of softer sales in February and uncertainty around consumer sentiment and tariffs.

The company’s expectations are low for the fiscal year, too. Target said it expected net sales to grow by around 1% and comparable sales, a metric that takes out one-time factors such as store openings and closings, to be roughly flat. Target said it expected adjusted earnings per share to range from $8.80 to $9.80 and for its operating margin rate to modestly increase compared with full-year 2024.