Canadians will now have the option to shop at
), as the general merchandiser and food discount retailer opens
its much awaited stores in Ontario. The doors of the 3 pilot
stores at Stone Road in Guelph, Milton Mall Shopping Centre in
Milton and Gates of Fergus in Fergus will be opened at 8 a.m. on
Tuesday morning for shoppers.
Target, in order to expand its global footprint, has been
eyeing the Canadian market for a long time, and plans to open 124
stores in 2013 with the first 24 outlets slated to be inaugurated
in March across Ontario. We believe the opening of stores outside
the United States will definitely boost the company's top and
bottom lines and improve cash flow generation capability. The
stores will carry items ranging from beauty and apparel to home,
grocery, and personal care.
Some of the brands that would find shelf space in the Target
stores include Nate Berkus Collection, the Sonia Kashuk
Collection, Giada De Laurentiis and Shaun White apparel. The
stores would also feature a wide range of Target owned and
exclusive brands, such as C9 by Champion, Circo, Archer Farms,
Market Pantry and Up & Up.
Last week, Target came out with its fourth-quarter fiscal 2012
results. The company posted adjusted earnings of $1.65 per share
that rose substantially from $1.49 delivered in the year-ago
quarter. This relates to results from the U.S. operations only.
Analysts polled by Zacks had projected earnings of $1.47 per
share for the quarter.
Total revenue climbed 6.8% to $22,726 million from the
prior-year quarter, and came ahead of the Zacks Consensus
Estimate of $22,642 million. Following sturdy results, shares of
this Zacks Rank #3 (Hold) company hit a new 52-week high of
$66.92 yesterday, before closing at $66.44, up 3.6% from the
previous day's session.
We believe Target's P-fresh remodel program, 5% REDcard
Rewards program, and "Expect More. Pay Less." brand promisewill
help sustain sales momentum, continue to drive traffic and
enhance customer shopping experience. In order to tap the urban
markets where real estate remains a constraint, the company plans
to open smaller-format stores called CityTarget, similar to that
of its biggest rival,
Wal-Mart Stores Inc
Moreover, Target announced its year-round price matching
policy with the aim of offering its patrons the facility to match
the prices being offered by online retail giants. The company
will match prices with
) Amazon.com, Wal-Mart's Walmart.com,
Best Buy Co. Inc
) BestBuy.com, and Toysrus.com.
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