Wells Fargo Raises Target (TGT) Forecast as Company Focuses on Strategic Investments

Target Corporation (NYSE:TGT) is included among the 14 Value Stocks to Buy with High Dividend Yields.

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On February 27, Wells Fargo analyst Edward Kelly raised the firm’s price recommendation on Target Corporation (NYSE:TGT) to $130 from $115. The analyst reiterated an Overweight rating on the shares. The firm said investor day marked an important moment for the company, with investment plans emerging as the key focus as Target works to get back on track. With the stock already up 17% year-to-date, the outlook presents a more complex setup. Wells Fargo said there is room for the new CEO to fund investments and deliver results, especially in a more supportive consumer environment.

On February 27, CNBC reported that Target said it would sell only cereals made without certified synthetic colors by the end of May. The move makes Target one of the latest retailers to tighten its product standards amid growing scrutiny of artificial dyes. The company said it worked closely with both national brands and its own private-label partners to reformulate products where needed. The decision applies to cereals sold in stores and through its online platform.

“We know consumers are increasingly prioritizing healthier lifestyles, and we’re moving quickly to evolve our offerings to meet their needs,” Cara Sylvester, Target’s chief merchandising officer, said in a statement.

Target’s decision places it ahead of several major brands that are still working toward similar changes. Some products currently on its shelves, including General Mills’ Lucky Charms, are expected to remove artificial colors on longer timelines, with Lucky Charms targeting completion by 2027.

Target Corporation (NYSE:TGT) operates as a general merchandise retailer. It sells products through its physical stores and digital channels, offering everyday essentials and differentiated merchandise at discounted prices.

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