10 Best Department Store Stocks to Invest in

6. Target Corporation (NYSE:TGT)

Number of Hedge Fund Holders: 56

Target Corporation (NYSE:TGT) is a retail giant operating over 2,000 discount department stores and hypermarkets across the US and Canada. It serves its customers an array of items, including food, everyday essentials, differentiated merchandise at discounted prices, and general merchandise. Its merchandise categories span food and beverages, home furnishing and decor, and others.

The company is facing some headwinds, with management noting weakening consumer confidence and pressure from tariff uncertainty through February. While Target Corporation’s (NYSE:TGT) 2025 guidance reflects flat growth, it also boasts several competitive advantages. It has stores in all 50 states, with store models perfectly fitting the rural, suburban, and urban markets simultaneously, appealing to all income categories. It expects to add around $15 billion in retail sales over the next five years.

Target Corporation (NYSE:TGT) is also investing in its business, opening 20 new stores in 2025 and spending money on remodels as well. The company holds the opportunity to expand its market share in several of its categories, enhance its stores and supply chains, improve sales through same-day delivery, expand its media business, and build an online advertising business. The stock’s long-term picture thus seems promising, which is why investors are bullish on it. Its median price target of $107.42 implies an upside of 28.47% from current levels.