Earnings And Financial PerformanceInvestors are likely somewhat disappointed by the lack of EPS upside from stronger comp growth, suggestive that costs remain heightened and/or that promotional activity increased in the period to drive traffic/comp.
Market CompetitionCompetition from major retailers like Walmart, Amazon, and Costco is expected to capture a significant portion of retail sales growth, posing a challenge for Target.
Supply Chain And Cost PressuresSupply chain challenges pressure margins. 3Q's ~20bps gross margin decline was driven entirely by higher supply chain costs.