Target (SYM: TGT) looks interesting again.
After dropping from about $167.50 to $148.44, the stock appears to have caught strong support. It’s also oversold on Williams’ %R, which is one of the strongest reversal indicators. In fact, in the chart below, you can see that when W%R dips below its 80-line, the Target stock bottoms out and pivots higher. We expect to see the same thing happen again near term.
Helping, over the last few weeks, the stock saw a few price upgrades. In fact, since August 22, RBC Capital, Bank of America, UBS, BMO Capital, Stifel, Truist, TD Cowen, Roth MKM and Evercore ISI all raised their price targets.
Evercore ISI, for example, raised its price target to $160 with an In-Line rating, noting, Q2 results provided an “encouraging glimpse of traffic growth and margin recovery” as Target is “rekindling its cheap chic mojo,” the analyst tells investors in an earnings recap note. The firm is closing out its negative trading call and removing the stock from its “Tactical Underperform” list as the earnings catalyst has passed, as noted by TheFly.com.
Plus, as we get closer to the December holidays, we do expect for TGT to run higher.
