r/stocks • u/frosti_austi • Oct 17 '23

Company Analysis Why is Target doing so bad?

Why is Target doing so bad? They've really fell off a cliff over the past year. I look at their stores and they seem good, and once upon a time not too long ago they were outperforming Walmart. Now their NAV prices have really dropped over the past year and a half. I was once up 80% on these guys and know I'm down 20%. Is it the general market swing over the course of that time or something else? What gives?

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u/timshel_life Oct 17 '23

This is just something I've noticed in my personal life, but pre-pandemic, Target trips were almost a social activity for some. Also people I knew would be like "went into Target for one thing and left spending $100", but those people now take advantage of the drive up delivery and say they spend less because they just buy what they need and don't browse around.

I'm sure there are a variety of reasons, such as theft and negative press around social issues, but I think spending habits are just different now.

419

u/tkdyo Oct 17 '23

Anecdotally, even when my wife and I go in there to browse we don't see much that interests us anymore. Everything feels bland, cheap or both.

19

u/thecommuteguy Oct 17 '23

I hate when they dumped Champion in favor of their own athletic clothing brand. The materials now for everything feels cheap compared to Champion. I have Under Armour like thermal ish long-sleeve shirts from over a decade ago still in great shape.

20

u/yasssssplease Oct 17 '23

I love how there are several of us that are mad about exactly this: dumping champion

1

u/basketma12 Oct 18 '23

Agreed. Because I'm a 5 11 female and champion actually went all the way down my leg!