How is this possible? The government just told us that retail sales jumped the most in years?
Target is out with its earnings despite beating bottom line, it missed top-line and took an ax to Q2 guidance…
- *TARGET 1Q ADJ. EPS $1.29, EST. $1.19 (Good)
- *TARGET 1Q REV. $16.2B, EST. $16.3B (Bad)
- *TARGET SEES 2Q ADJ. EPS $1.00-$1.20, EST. $1.36 (Ugly)
In second quarter 2016, Target expects comparable sales of flat to down two percent, and Adjusted EPS of $1.00 to $1.20. Second quarter GAAP EPS from continuing operations will include approximately $0.17 of expense related to early debt retirement losses, and also may include the impact of certain additional discrete items which will be excluded in calculating Adjusted EPS. In the past, these items have included data breach expenses, restructuring costs and certain other items that are discretely managed. Beyond losses related to the early debt retirement, Target is not currently aware of any other material discrete items.
And the result – Target is down almost 10% in the pre-market…
Makes you wonder just what fiction the government is peddling?
The government data was so "good" in fact that even establishment economists such as Stephanie Pomboy of Macromavens did what we have repeatedly done in the past few months when she accused the government of fabricating the reported number by using a major seasonal adjustment gimmick as shown in the video below.
via http://ift.tt/1V91Uft Tyler Durden