Target lifts annual forecasts again as Fiddelke's turnaround takes root

Target lifts annual forecasts again as Fiddelke's turnaround takes root By Juveria Tabassum and Nicholas P. Brown Wed, August 19, 2026 at 9:56 AM EDT 4 min read TGT By Juveria Tabassum and Nicholas P. Brown Aug 19 (Reuters) - Target raised its annual sales forecast for a second time this year as efforts to cut prices and freshen merchandise yielded results, while its quarterly profit received a nearly $1 billion boost from tariff refunds. It was the third straight strong quarter for Target, ‌and the results suggest the turnaround plan of new CEO Michael Fiddelke is taking root ahead of the all-important holiday shopping season, even as high fuel prices ‌pressure household budgets. More from Yahoo Scout Quarterly comparable sales grew 3.8% and beat estimates of 2.5% growth in its earnings report, which Morningstar analyst Brett Husslein had flagged as a key test on whether Target can consistently execute on price, product ​mix and store experience. The sales growth was powered by a 3.6% rise in traffic and an 8.7% jump in digital comparable sales, as shoppers opted for same-day delivery. However, ticket size was about flat. The turnaround "will take some time", Fiddelke said on a call with analysts, noting some categories such as apparel and home grew only a bit. But "where we're making the beginnings of change, we're seeing the green shoots of a good guest response." Target's shares reversed premarket losses to gain 5% as executives touted a strong start to the back-to-school…