How Target’s (TGT) Dividend History Strengthens its Passive Income Appeal

Target Corporation (NYSE:TGT) is included among the 12 Best Stocks to Buy Now for Passive Income

How Target’s (TGT) Dividend History Strengthens its Passive Income Appeal

Target Corporation (NYSE:TGT) ranks among the largest retailers in the US and is one of the few national chains offering a broad range of products. Throughout most of its history, it has been a reliable growth driver. The company operates across urban, suburban, and rural areas, with stores in all 50 states.

Although Target Corporation (NYSE:TGT) has faced challenges recently, the company still holds significant long-term growth potential in both physical retail and e-commerce. Its same-day services, including curbside pickup through Drive Up and delivery via Shipt, add to its competitive edge. The company is aiming for a 15% increase in sales over the next five years, and based on its current valuation, the stock could be a strong performer if it meets that target.

Target Corporation (NYSE:TGT) is also popular among investors because of its strong dividend history. The company is a Dividend King, boasting 54 consecutive years of dividend growth. Currently, it offers a quarterly dividend of $1.14 per share and has a dividend yield of 5.27%, as recorded on September 22.

While we acknowledge the potential of TGT as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an AI stock that is more promising than TGT and that has a 100x upside potential, check out our report about the cheapest AI stock.

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Disclosure: None.