Target delivers earnings beat, CEO 'encouraged' by turnaround traction

Target, the U.S. retailer, reported stronger-than-expected earnings for the second quarter of 2026, exceeding analysts' forecasts. The company's CEO, Michael Fiddelke, expressed optimism about the turnaround, noting that a series of strategic changes in product offerings and pricing have begun to positively impact sales and store traffic.

Fiddelke highlighted a 5.3% year-over-year increase in net sales to $26.5 billion, with a notable 100% year-over-year gain in diluted earnings per share to $4.11. Comparable sales rose 3.8% year-over-year, surpassing estimates at +2.43%. The company's strategy, which includes a broad assortment refresh and price cuts on 10,000 items, appears to be paying off.

Fiddelke emphasized that there's still work ahead, aiming for sustained top-line growth over the years.