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Target’s news: Pulling back the curtain on a Pro report

By now, you’ve undoubtedly heard the news that Target Corp. CEO and President Gregg Steinhafel decided to resign yesterday. In a short press release attached to an 8-K, the company said that Steinhafel, who had been at the company for the past 35 years “held himself personally accountable and pledged that Target would emerge a better company.”

Target’s stock fell just over 3% yesterday and is down another 3% today as investors start to realize that the impact from the data breach may be bigger than expected.

Of course, investors shouldn’t find this news totally surprising. On Feb 26, when Target released its fourth quarter results, which were widely viewed as positive, sending the stock up on the news, the company also updated a number of risk factors in an 8-K attached to that press release that few people seem to have paid much attention too. But because most people were more focused on the earnings, this change attracted very little attention.

But we found the new risk factors unusual enough that we published this Pro report on Feb. 27. You don’t need to register or provide a credit card to read the report. We decided to make it available for free, in part to show the types of things that we provide to Pro subscribers: actionable information that’s ahead of the market.

While we weren’t able to predict Steinhafel’s resignation, we felt there were enough warnings in that 8-K that the euphoria over the results were definitely premature.

If you’re interested in learning more about our subscription product, which is designed for institutional investors and costs $10,000 per year, please contact Alfred Nastasi.