Updated Buy Recommendation for TGT Amid Undervaluation and Tariff Risks

3 months ago

Parkev Tatevosian, CFA

"Now, that being said, I felt for the past uh month or so that Target stock has been undervalued. I last updated my recommendation for Target stock about a month ago and today the share price still looks hugely undervalued considering the relatively I don't want to say safe but relatively safer business model of Target. The current market price is at $94.62. The intrinsic value I calculated and I updated today is $120. So you're getting a 25% undervaluation here for target stock which doesn't usually trade at this kind of undervaluation or even overvaluation. Target stock is not like some of those high-flying tech stocks where the price is volatile. This is a moment in time where it's very risky to be a Target stock investor, which is not usually the case, but I think the risk is worth the reward at current market prices."

The speaker updates his buy recommendation for Target (TGT) stock, citing a 25% undervaluation based on an intrinsic value calculation of $120 versus a current market price of $94.62. He acknowledges the inherent risks due to tariffs and geopolitical tensions but believes the potential reward justifies the risk in the current scenario.

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