Target Raises Profit Guidance After Q2 Growth, Credits New Merchandise and Loyalty Programs

Target reported a 3% sales growth in its fiscal second quarter, marking a return to growth after sluggish performance. The retailer exceeded Wall Street’s expectations, driven by increased customer visits and higher discretionary spending. Target maintained its cautious full-year sales forecast, expecting growth in the lower half of its projected range. The company credited new merchandise, price cuts, and enhanced loyalty programs for improved performance despite ongoing economic uncertainties. Target also raised its profit guidance. Shares rose over 10% in premarket trading.