- Comparable sales at Target (NYSE:TGT) fell 1.5% in Q4 to miss the consensus expectation for a 1.3% decline.
- Digital sales rose 34% Y/Y and contributed 1.8 percentage points of growth.
- The company reports gross margin of 26.9% for the quarter, down 100 bps from a year ago. SG&A expense rate fell 60 bps to 17.5% of sales. EBITDA margin was down 30 bps to 9.5% of sales.
- Looking ahead, CEO Brian Cornell says the company will invest in lower gross margins to ensure the retailer is "competitively priced" every day.
- Previously: Target misses by $0.06, misses on revenue (Feb. 28)
- Shares of Target are down 12.26% in premarket trading to $58.72.