Wow $TGT got absolutely murdered today. 💀
— QE Infinity (@StealthQE4) November 20, 2024
Target just reported quarterly EPS of $1.85, 19.5% below expectations of $2.30, on revenue of $25.7 billion, also below expectations.
Not only did this market the biggest EPS miss in 2 years, it also marked the first revenue miss since August 2023. pic.twitter.com/lHSyA65Ryu
— The Kobeissi Letter (@KobeissiLetter) November 20, 2024
This is the red flag.
For multiple quarters now, Target has been warning of weakness in discretionary items.
In fact, their COO said cost pressures due to inflation are a major reason for the weakness.
Weakening retail spending is often a leading indicator of a recession.
— The Kobeissi Letter (@KobeissiLetter) November 20, 2024
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