01-19-2017, 11:35 AM
For all of the claims of disaster for TGT, analysts are still expecting profits to be 11% higher than 2016, and are expecting another 5% of growth in 2018.
The company has been paying growing dividends for the last 48 years, the payout ratio is reasonable, and I think there is a decent chance of at least 5% dividend growth going forward.
A 3.6% yield isn't a bad place to start. I don't think it is a screaming buy here, but I can see why people are getting interested. Retail is a tough business, but Target has shown through the years that it can navigate through the changes. While I haven't put any new funds into the stock, I plan to continue holding and reinvesting my dividends.
The company has been paying growing dividends for the last 48 years, the payout ratio is reasonable, and I think there is a decent chance of at least 5% dividend growth going forward.
A 3.6% yield isn't a bad place to start. I don't think it is a screaming buy here, but I can see why people are getting interested. Retail is a tough business, but Target has shown through the years that it can navigate through the changes. While I haven't put any new funds into the stock, I plan to continue holding and reinvesting my dividends.