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Saturday, March 11, 2006
Stock Pick: TGT

By: Michael E. Martinez

Low quality retail chains always strive no matter what kind of market we're in. Target is a good example of that type of company. With this strange stock market we're in, its kind of hard to make good money nor find stable companies. This time I'm highlighting a strong company that should make you money no matter what kind of market we're in.

Target is a longer term play, it is the closest thing out there to its competitor, Wal*Mart. Believe it or not, since many people hate Wal*Mart, they will be "rooting" for the next competitor, Target, so they will support them in anyway possible, studies show this will be done by stock. Even if this didn't happen, Target's financials and same store sales have been strong sequentially from quarter to quarter for awhile now and will continue to be strong.

Target's first store opened in Roseville, Minnesota, in 1962. Its on-trend merchandise at affordable prices launched a new era in discount retailing. This "T-1" store was easy to shop, attractive and always clean. It served as the prototype for every Target store opened since then, and it changed how consumers think about discount shopping.

Today, Target operates more than 1,300 stores in 47 states, including over 140 Super Target stores that add an upscale grocery shopping experience. In addition to the photo processing, pharmacy and Food Avenue restaurants found in almost every Target, Super Target includes an in-store bakery, deli, meat and produce sections. I think this stock should go higher long term.

Posted at Saturday, March 11, 2006 by MartinezMic

 

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