From Yahoo Finance: 2025-04-16 09:55:00

Target Corp. (NYSE:TGT) is one of the most undervalued quality stocks to buy now, with a forward P/E ratio of 10.22 and 56 hedge fund holders. The company is a top digital grocer in the US, known for its Tar-zhay strategy and exclusive brands generating significant sales. Target Corp. actively engages with trends and has a successful online marketplace, making it a strong investment choice.

Kayne Anderson Rudnick chief market strategist Julie Biel believes that holding high-quality companies is key during market turbulence. She emphasizes conviction in investing, notes the resilience of the US economy, and expresses concern over potential recession risks due to deficit spending. Biel’s stock picks focus on tangible solutions, favoring quality companies over those relying on hyped technologies like AI.

Vanguard U.S. Quality Factor ETF holdings reveal 11 undervalued stocks favored by elite hedge funds and analysts. Hedge funds’ top stock picks have consistently outperformed the market, with a strategy returning 373.4% since May 2014. Target Corp. ranks 9th on the list of undervalued quality stocks, with potential for growth but AI stocks offering higher returns in the short term.

Target Corp. continues to innovate and engage with trends, such as introducing 2,000 new wellness products and growing its online marketplace, Target Plus. The company’s focus on exclusive brands and unique product mix drives customer traffic and sales growth. While Target Corp. shows promise as an investment, there are AI stocks with greater potential for high returns in a shorter timeframe.



Read more at Yahoo Finance: Is Target Corp. (NYSE:TGT) the Most Undervalued Quality Stock to Buy Now?