3 Reasons Target Looks Like a Buy After its Coronavirus Update
Target (NYSE: TGT) came clean on Wednesday.
The big-box chain gave investors a clear-eyed look at where the business stands as the coronavirus outbreak sweeps the country, and investors didn't take the news particularly well. The company revealed that it was withdrawing guidance and suspending share buybacks, and the stock finished the day down 9.5% even as the broad market gained. Target also said it would incur more than $300 million in incremental operating expenses this quarter due to increased wages, higher supply-chain costs, and additional store cleaning needs.
Still, long-term investors shouldn't be scared away by the report -- there's plenty of good news here. Let's take a look at a few key items.
Source Fool.com
