Target beat Wall Street's fourth-quarter expectations on the top and bottom lines, but it's planning for a rough first quarter, adding to concerns about consumer health. CEO Brian Cornell joined CNBC to discuss the results and the state of the consumer.
The CEOs of Target and Best Buy each addressed Trump's new tariffs on Canada, Mexico, and China. Target's chief executive, Brian Cornell, said some grocery costs could go up as early as this week.
Taco Bell's same-store sales are expected to rise 8% in the first quarter.
CEO Brian Cornell said Target relies heavily on Mexican produce during the winter months, and the tariffs could force the company to raise prices.
Target (TGT) came out with quarterly earnings of $2.41 per share, beating the Zacks Consensus Estimate of $2.25 per share. This compares to earnings of $2.98 per share a year ago.
Michael Lasser, UBS retail analyst, joins 'Squawk Box' to break down Target's quarterly earnings results.
Target (TGT) posted better-than-expected fourth-quarter results, although it warned that the uncertainty around tariffs would weigh on current-quarter results.
Target's profit will be pressured in the first quarter due to tariff uncertainty and bad weather, but will then see improvement the rest of the year
Target Corp has warned of “meaningful” pressure on profit over the coming quarter due to the likes of consumer uncertainty and fears around tariffs. Net sales had declined in February, the retailer said in fourth quarter figures on Tuesday, in a “soft” start to its new financial year.
Consumers will likely see higher produce prices in the coming days due to President Donald Trump's tariffs on Mexican goods, Target CEO Brian Cornell said. Prices for strawberries, avocados and bananas could rise, Cornell said, after the 25% duties on imports from Mexico and Canada took effect Tuesday.
CNBC's Becky Quick reports on the company's quarterly earnings results.
The company says strong demand for discretionary products over the holidays boosted the bottom line.