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News  ›  The Motley Fool

History Says Buying Target Stock at a 5% Dividend Yield Is a Good Move. But Is It?

The Motley Fool Logo The Motley Fool By Jon Quast
History Says Buying Target Stock at a 5% Dividend Yield Is a Good Move. But Is It?

Target, a Dividend King with 55 consecutive years of dividend increases, is experiencing sales challenges but shows potential growth in digital revenue streams like advertising and third-party marketplace. Despite current struggles, the stock trades at an attractive valuation with a high dividend yield.

Insights
TGT   neutral

The company is facing sales declines and margin pressures, but has promising digital revenue growth, a long history of navigating challenges, and trades at an attractive valuation with a high dividend yield