Stock Analysis on Net

Target Corp. (NYSE:TGT)

$24.99

Price to Earnings (P/E)
since 2005

Microsoft Excel

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Calculation

Target Corp., P/E, long-term trends, calculation

Microsoft Excel

Based on: 10-K (reporting date: 2026-01-31), 10-K (reporting date: 2025-02-01), 10-K (reporting date: 2024-02-03), 10-K (reporting date: 2023-01-28), 10-K (reporting date: 2022-01-29), 10-K (reporting date: 2021-01-30), 10-K (reporting date: 2020-02-01), 10-K (reporting date: 2019-02-02), 10-K (reporting date: 2018-02-03), 10-K (reporting date: 2017-01-28), 10-K (reporting date: 2016-01-30), 10-K (reporting date: 2015-01-31), 10-K (reporting date: 2014-02-01), 10-K (reporting date: 2013-02-02), 10-K (reporting date: 2012-01-28), 10-K (reporting date: 2011-01-29), 10-K (reporting date: 2010-01-30), 10-K (reporting date: 2009-01-31), 10-K (reporting date: 2008-02-02), 10-K (reporting date: 2007-02-03), 10-K (reporting date: 2006-01-28), 10-K (reporting date: 2005-01-29).

1 US$

2 Data adjusted for splits and stock dividends.

3 Closing price as at the filing date of Target Corp. Annual Report.


The price-to-earnings (P/E) ratio, calculated from share price and earnings per share, exhibits considerable fluctuation over the observed period. Initial values in the early 2000s demonstrate a moderate range, followed by periods of both increase and decrease, influenced by market conditions and company performance.

Initial Period (2005-2008)
From 2005 to 2008, the P/E ratio generally ranged between 13.78 and 18.67, indicating a relatively stable valuation. A peak of 18.67 was observed in 2006, followed by a decline to 14.43 in 2008. This period suggests investor confidence aligned with earnings performance.
Financial Crisis & Recovery (2009-2012)
The year 2009 saw a significant drop in the P/E ratio to 10.19, coinciding with the global financial crisis and a decrease in earnings per share. Subsequent years, 2010 through 2012, showed a recovery in the P/E ratio, reaching 13.41 and 14.65 respectively, as earnings began to rebound. However, the P/E ratio in 2012 remained below the levels seen prior to the crisis.
Mid-Range Fluctuations (2013-2016)
The P/E ratio experienced volatility between 2013 and 2016. A high of 19.07 was recorded in 2013, followed by a negative earnings per share value in 2014, resulting in a missing P/E ratio value. The ratio recovered to 14.61 in 2015 and then decreased to 11.11 in 2016.
Recent Trends (2017-2026)
From 2017 to 2021, the P/E ratio demonstrated an upward trend, peaking at 20.39 in 2021, driven by substantial increases in earnings per share. A sharp increase in the P/E ratio to 27.08 was observed in 2022, despite a decrease in share price, indicating a significant drop in earnings per share. The ratio then decreased to 18.60 in 2023 and continued to decline to 11.95 in 2024. Projections for 2025 and 2026 suggest a continued P/E ratio in the range of 14.52 and 14.52 respectively.

Overall, the P/E ratio demonstrates sensitivity to both share price and, more significantly, earnings per share. Periods of economic downturn and reduced profitability are clearly reflected in lower P/E ratios, while periods of growth and increased earnings are associated with higher ratios. The recent fluctuations suggest increased volatility in earnings and potentially changing investor sentiment.


Comparison to Competitors


Comparison to Sector (Consumer Staples Distribution & Retail)


Comparison to Industry (Consumer Staples)