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The latest trading session saw Target (TGT) ending at $163.73, denoting a -0.61% adjustment from its last day's close. The stock trailed the S&P 500, which registered a daily gain of 0.32%. Elsewhere, the Dow saw an upswing of 0.38%, while the tech-heavy Nasdaq appreciated by 0.35%.

Shares of the retailer have depreciated by 7.04% over the course of the past month, underperforming the Retail-Wholesale sector's loss of 1.39% and the S&P 500's loss of 2%.

The investment community will be paying close attention to the earnings performance of Target in its upcoming release. The company is slated to reveal its earnings on May 22, 2024. The company's upcoming EPS is projected at $2.02, signifying a 1.46% drop compared to the same quarter of the previous year. In the meantime, our current consensus estimate forecasts the revenue to be $24.49 billion, indicating a 3.29% decline compared to the corresponding quarter of the prior year.

For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $9.39 per share and a revenue of $106.62 billion, representing changes of +5.03% and -0.74%, respectively, from the prior year.

Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Target. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research suggests that these changes in estimates have a direct relationship with upcoming stock price performance. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.

Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the past month, there's been no change in the Zacks Consensus EPS estimate. Target is currently a Zacks Rank #2 (Buy).

Looking at valuation, Target is presently trading at a Forward P/E ratio of 17.54. This indicates a discount in contrast to its industry's Forward P/E of 21.11.

Investors should also note that TGT has a PEG ratio of 1.54 right now. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. Retail - Discount Stores stocks are, on average, holding a PEG ratio of 1.9 based on yesterday's closing prices.

The Retail - Discount Stores industry is part of the Retail-Wholesale sector. This group has a Zacks Industry Rank of 36, putting it in the top 15% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.

Be sure to use Zacks.com to monitor all these stock-influencing metrics, and more, throughout the forthcoming trading sessions.

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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.