What's Behind Target's Disappointing Holiday Sales
Investors had high expectations for Target's (NYSE: TGT) fourth quarter, and with good reason. The retailer was firing on all cylinders, showing strength in key product categories, and its same-day fulfillment options were expected to play a key role in the shortened holiday shopping season.
But sales in November and December came in lower than expected, Target's management said in an earnings pre-release. Same-store sales grew just 1.4%, compared to its previous guidance of 3% to 4%. Digital sales grew just 19% in the two months, a marked slowdown from the 31% growth it posted in both the third quarter and in the fourth quarter a year ago.
Target's results are certainly disappointing, but it'll pay to dig deeper into the data Target provided in its release.
Source Fool.com
