How Target became the retail trade of the year, with the stock up nearly 90%

Target is far and away the best-performing retail stock of 2019.

After reporting fiscal third-quarter results on Wednesday that crushed Wall Street’s expectation, Target shares rose 14.1% to close at $126.43. The stock is up 90% this year, topping even the strong performances of TJX and Walmart, and is this year’s sixth-best performing stock in the S&P 500 index.

“We thought the market was already pricing in more of TGT’s progress, but today’s results (esp. margin expansion) came in well above even the most bullish expectations,” Goldman Sachs wrote in a note to investors.

Target also raised its profit outlook for the full year, ahead of the all-important holiday shopping season, while cutting the cost of handling online orders. (READ MORE)