Target Corp. (NYSE:TGT)

The financial data indicates consistent growth in the gross value of property and equipment over the six-year period under review. The gross property and equipment increased from $45,947 million in 2020 to $59,299 million in 2025, reflecting ongoing investment and expansion in assets.

Land

The value of land showed a steady increase, rising from $6,036 million in 2020 to $6,735 million in 2025. The growth rate is relatively moderate but consistent each year, indicating a gradual acquisition or revaluation of land holdings.

Buildings and Improvements

This category exhibited significant growth, climbing from $30,603 million in 2020 to $38,752 million in 2025. This upward trend suggests substantial investment in physical infrastructure and enhancements, with increases evident every year.

Fixtures and Equipment

There was an overall increase in fixtures and equipment from $6,083 million in 2020 to $8,917 million in 2025. The data reveals fluctuations initially between 2020 and 2021 with a slight decline, followed by strong growth thereafter, particularly between 2021 and 2024.

Computer Hardware and Software

Values in this category fluctuated slightly but maintained an upward trajectory from $2,692 million in 2020 to $3,710 million in 2025. Notably, there was a decrease in 2022, suggesting possible write-downs or reduced investment in that year, but growth resumed in subsequent years.

Construction-in-Progress

This item showed variable trends, increasing sharply from $533 million in 2020 to a peak of $2,688 million in 2023 before declining to $1,185 million in 2025. The pattern indicates active ongoing construction projects that were particularly pronounced in the 2022-2023 period, followed by a drawdown likely due to project completions.

Accumulated Depreciation

Accumulated depreciation steadily increased in magnitude (more negative) from -$19,664 million in 2020 to -$26,277 million in 2025. This consistent increase reflects the systematic allocation of asset costs over time and aligns with asset growth, indicating mature asset utilization.

Property and Equipment, Net

The net book value of property and equipment rose from $26,283 million in 2020 to a peak of $33,096 million in 2024 but slightly decreased to $33,022 million in 2025. This suggests overall asset base expansion net of depreciation, with a marginal decline in the final year possibly due to increased depreciation expense or lesser capital additions.

In summary, the data reflects consistent investment in property, plant, and equipment, supporting asset growth across all major categories. The increase in accumulated depreciation matches the rising asset base, confirming active asset utilization and aging. Construction in progress peaked in 2023, signaling a dynamic phase of asset expansion. The slight dip in net property and equipment value in 2025 may warrant attention to capital expenditure trends and asset replacement cycles going forward.

The analysis of property, plant, and equipment metrics over the six-year period reveals several notable trends. The average age ratio, expressed as a percentage, shows minor fluctuations, initially rising slightly from 49.27% in early 2020 to 49.44% in early 2021. It then declines steadily to 47.23% by early 2023, before climbing again to 49.99% by early 2025. This pattern suggests some variability in the aging profile of the asset base, with a temporary period of relatively younger assets before reverting closer to the initial age ratio.

The estimated total useful life of assets has shown a consistent upward trend from 15 years in 2020 to 18 years by 2023, where it stabilizes through 2025. This increase indicates an adjustment either in asset lifespan expectations or a shift in the composition of the asset base towards longer-lived assets over time.

Meanwhile, the estimated age of the assets, representing the time elapsed since purchase, remains quite stable at around 8 years from 2020 through 2023, then increases slightly to 9 years in 2024 and remains at that level in 2025. This indicates a relatively consistent aging of the asset pool over the period.

Concurrently, the estimated remaining useful life holds steady at 8 years through 2022, increasing to 9 years starting in 2023 and maintaining this duration through 2025. This reflects a longer remaining life expectancy, likely linked to the extended total useful life metric observed during the same period.

Summary of Trends:

The company shows a tendency to increase the estimated total useful life of its property, plant, and equipment, which in turn results in a higher remaining life expectancy despite assets aging in absolute terms.

The average age ratio's fluctuations suggest adjustments in asset management, acquisitions, or disposals that affect the overall age distribution of the fixed assets.

The stability in estimated asset age and a concurrent increase in remaining life imply that asset longevity assumptions have improved, potentially optimizing depreciation strategies or reflecting investments in more durable assets.

The financial data on property, plant, and equipment reveals several notable trends over the six-year period under review. The gross value of property and equipment consistently increased each year, indicating ongoing investments in fixed assets. Starting from US$45,947 million in the fiscal year ending February 1, 2020, the gross property and equipment rose steadily to reach US$59,299 million by February 1, 2025. This upward trend reflects continued capital expenditure and expansion or enhancement of the company's asset base.

Accumulated depreciation also exhibited a consistent increase throughout the period, moving from US$19,664 million at the beginning of the period to US$26,277 million by the end of the most recent fiscal year. The rise in accumulated depreciation corresponds with the growth in gross assets, indicating ongoing use and aging of property and equipment. The depreciation growth likely reflects the wear and tear and systematic allocation of the cost of tangible assets over their useful lives.

Regarding land value, a more modest but steady increase is apparent, starting at US$6,036 million and rising to US$6,735 million by the latest fiscal year. This suggests incremental acquisitions or revaluations of land assets without large fluctuations, possibly representing stable land holdings or selective property purchases.

The average age ratio of the assets, expressed as a percentage, shows a slight fluctuation during the timeframe. It started at 49.27% in 2020, generally decreased to a low of 47.23% by 2023, and then rose again to 49.99% in 2025. This pattern suggests a period where newer assets were added or older assets retired, leading to a decrease in average age, followed by a return to a higher average asset age. Such changes may reflect asset replacement cycles, with investments and depreciation affecting the overall age profile of the asset base.

Key Observations:

- Consistent annual growth in gross property and equipment indicates sustained capital investment.

- Accumulated depreciation increased steadily, denoting ongoing asset usage and aging.

- Land assets grew moderately, implying stable or slightly expanded land holdings.

- Average age ratio fluctuations suggest dynamic asset replacement and aging patterns over the period.

The analysis of the annual property, plant, and equipment financial data reveals several key trends in the asset base and its related depreciation over the examined periods.

Property and Equipment, Gross

The gross value of property and equipment shows a consistent upward trajectory, increasing steadily each year from approximately $45.9 billion in early 2020 to nearly $59.3 billion in early 2025. This growth suggests ongoing investment in fixed assets, reflecting expansion or replacement activities over the five-year interval.

Land

The value of land demonstrates a gradual increase, rising from about $6.0 billion in 2020 to roughly $6.7 billion in 2025. The increment is steady but moderate compared to the overall property and equipment growth, indicating either selective land acquisitions or appreciation in land values.

Depreciation Expense

Depreciation expense follows a generally increasing trend, with a slight dip noted in 2021. Starting at $2.59 billion in 2020, it decreases marginally to $2.5 billion in 2021, then rises consistently to reach $3.0 billion by 2025. This pattern may reflect changes in asset composition, depreciation methods, or alterations in estimated useful lives affecting annual expense recognition.

Estimated Total Useful Life

The estimated total useful life of assets shows an incremental increase from 15 years in 2020 to 18 years by 2023, maintaining this figure through 2025. This extension in useful life estimates may contribute to the observed variations in depreciation expense, as a longer useful life typically reduces annual depreciation charges.

In summary, the data indicates ongoing capital investment alongside a strategic reassessment of asset longevity. The rise in gross property and equipment, coupled with a measured increase in land value, highlights asset base expansion. Meanwhile, the increasing useful life estimates and corresponding depreciation expense patterns suggest efforts to optimize asset cost allocation over time.

The annual financial data related to property, plant, and equipment (PP&E) reveals several noteworthy trends in depreciation metrics over the periods analyzed.

Accumulated Depreciation

The accumulated depreciation shows a consistent upward trend each year, increasing from $19,664 million in February 2020 to $26,277 million in February 2025. This steady rise indicates ongoing usage and aging of the company's fixed assets, as well as continued allocation of depreciation over the assets' useful lives.

Depreciation Expense

The depreciation expense fluctuates slightly but generally shows an increasing trend throughout the years. It starts at $2,591 million in 2020, dips marginally to $2,500 million in 2021, and then gradually rises to reach $3,000 million by February 2025. This pattern may reflect adjustments in asset base composition, changes in depreciation methods, or the introduction of new assets that affect annual charges.

Time Elapsed Since Purchase

The time elapsed since purchase remains relatively stable at 8 years for the period from 2020 to 2023, increasing to 9 years in the last two periods. This indicates a generally mature asset base with limited significant additions or retirements that would impact the average age of assets significantly.

Overall, the data suggests a mature and steadily depreciating asset base, with depreciation expenses aligning with the aging of assets while showing slight increases possibly due to new capital expenditures or changes in accounting estimates. The consistent increase in accumulated depreciation corresponds to the increased time assets have been held and used.

Property and Equipment, Net

The net value of property and equipment has exhibited a consistent upward trend over the six-year period. Beginning at 26,283 million US dollars in early 2020, the figure increased each year, reaching a peak of 33,096 million US dollars in early 2024. The value remained relatively stable between early 2024 and early 2025, with a slight decrease to 33,022 million US dollars, indicating possible divestitures or asset impairments during that latest period.

Land

The land asset value shows a steady increase across the years. Starting at 6,036 million US dollars in early 2020, it gradually rose each year to reach 6,735 million US dollars by early 2025. This consistent growth reflects ongoing acquisitions or revaluations of land assets over the periods analyzed.

Depreciation Expense

The depreciation expense demonstrates a somewhat fluctuating, yet overall increasing pattern. Initially, the expense decreased from 2,591 million US dollars in early 2020 to 2,500 million in early 2021, then steadily increased to 3,000 million US dollars by early 2025. This upward movement may indicate increased depreciation from newly acquired assets or changes in depreciation methods or estimates.

Estimated Remaining Life

The estimated remaining life of property and equipment remained steady at 8 years from early 2020 through early 2022. Beginning in early 2023, it increased to 9 years and remained at that level through early 2025. This extension may reflect asset additions with longer useful lives, reassessment of existing asset longevity, or capital expenditure on long-term assets.