(By Balachander) Target Corp. (NYSE:TGT) shares added 1.10 percent in premarket trading on Wednesday after the discount retail giant raised its earnings forecast following better-than-expected quarterly results.
Adjusted earnings per share increased 4.6 percent to $1.12 from $1.07, versus market expectations of $1.01. Net earnings were flat at $704 million.
Total revenue grew 3.3 percent to $16.78 billion versus consensus estimate of $16.75 billion. Sales increased 3.5 percent, while credit card revenue dropped 5.1 percent for the second quarter ended July 28.
Looking ahead for the third quarter, Minneapolis-based Target sees adjusted earnings per share between $0.83 and $0.93, while analysts expect $0.76.
For the full year, the company raised its earnings per share forecast by 5 cents to $4.65 to $4.85, coming in above consensus estimate of $4.31.
TGT shares closed Tuesday's regular trading at $63.38. The stock has been trading in the 52-week range of $47.25 to $63.47.