Analytics Report for Target Corporation

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 Analytics Report for Target Inc.

1.0. Introduction

The company under consideration is Target Corporation that was established in 1902 by

George Dayton. It later became a publicly traded firm on 18th October 1967. It is based in

Minneapolis, Minnesota. The company operates in the Consumer Defensive Sector as a retail

discount store. Yahoo (2022) has about 360,000 full-time employees. The merchandise store

offers a wide range of consumer products, such as perishables, dry grains, frozen foods, and

perishables. The stores also deal with home-based products, cosmetics, home décor items,

clothing, accessories, toys, and technological goods. Today, the company has expanded even

more to include in-store facilities, such as optical solutions, Starbucks, and a café (Yahoo, 2022).

Target has about 1800 outlets as highlighted in its reports. The company operates through

physical stores as well as through the digital channel. Through the website dubbed [Link],

the company operates its digital channel to serve its clients. Its market closed on 1 st April 2022

with a market capitalization of US $210.54 billion (Yahoo, 2022).

Target Corporation deals with general merchandise throughout the 50 U.S. states. It also

operates in the District of Columbia. The company is spearheaded by Brian Cornell as the CEO.

With its over 2,000 stores and [Link], the company serves many guests. Of about 400,000

team members, 56 percent are women and 53 percent are people of color (Target, 2021). Since

1946, the organization has been giving 5 percent of the profit to charity through communities.

This signifies millions of dollars per week. Within the historical context, Target started by

opening two stores that reached 49 units and made $511 million in sales in nine states in 1975

[Target Corporation (TGT) (n.d.)]. In the same year, Target's discount store became Dayton-

Hudson’s top generator of revenue. It then became the eighth-largest retailer in the United States.
Target opened four more units that reached $600 million in sales in 2022 [TARGET

CORPORATION, 2018]. Target stores then made Macke its president and CEO. Accordingly, the

company was enthused by the Dayton Hudson Foundation to start the 5 Percent Club, which

honored organizations that donate money to charities.

2.0. Graphical Representations of Data

i. Scatterplots

Fig.1 – Highest Stock Price at Target Corporation [Source - Original]

This figure is a scatterplot of the highest stock price against time for Target Corporation.

The graph shows how the company’s stock data has changed from 2016 to 2021. It demonstrates

the connection between two separate variables, which include the dependent variable on the y-

axis and the independent variable on the x-axis. Here, the highest daily prices are the dependent

variable, while time is the independent variable. It also shows that currency units are in US
dollars, while the unit for time is days. The scatterplot shows a uniformly running trend in the

first three years, 2016 to 2019, which then increases steadily from 2020 to 2021. However, in the

final year the graph assumes a falling and rising trend. This shows a time-based correlation. The

relationship between the high daily prices and time is complex throughout the years. For

instance, it can be seen that the highest daily price for the company changed from US$ 70 in

2016 to US$ 252 in 2021. This means that the stock rise rose significantly in the first 4 years.

Since there is no huge changes in the stock price over the years, the company is a dependable

source of investment.

Fig.2 - Low Daily Prices for Target Corporation [Source - Original]

This scatterplot demonstrates a change in Target’s lowest daily prices from January 2016

to April 2021. The graph shows an interaction between two variables, the lowest daily prices on

the y-axis and the time unit on the x-axis. The currency is represented in US Dollars, and the

time is measured in days. Like the highest daily prices, the lowest daily prices’ scatterplot is
linear in the first 3 years. However, the stock price rises steadily in the last 2 years. This temporal

correlation between the two variables does not show outliers, demonstrating that Target has

sustained its market shares.

3.0. Histogram

Highest value = 252.6949

Lowest value = 42.24354

Class width = 252.6949 - 42.24354 = 210.45136

Range of classes = 10

So, class interval = 210.45136/10 = 21.05 or 21

Fig.3 – Adjusted Close for Target Corporation [Source - Original]

period. The dependent factor, adjusted close is on the y-axis, while the independent factor, stock

price is on the x-axis. The currency units are in US Dollars, while the frequency is in ‘frequency

per unit,’ where a unit is 1 mark. This histogram is uniform throughout the chart without

staggering dips and spikes. The stock price is uniform from the start to the end. With no rises and

falls in the histogram, the graph shows that Target has sustained its market shares over the 5

years.

ii. Stock Trading Volume

Min = 1532900 or 1.53

Max = 49491700 or 49.49

Class width = 49.49-1.533 = 47.957

Class range = 5

Class interval = 47.957/5 = 9.59 or 10

This figure shows Target’s stock trading volume. On the x-axis there is the dependent

variable, while the independent variable is on the y-axis. The independent variable is time in the

frequency units of 0.5. This histogram shows a significant fall in units from the start. There is a

significant decline in stock prices after the first 2.5 years from 90 percent to 20 percent. Thus,

there is a regularized change from the top to the bottom indicating a decreased in the stock price.

4.0. Descriptive Statistics

i. Adjusted Daily Closing Stock Price

Calculations Results

Mean 99

Median 71

Mode 77
Standard Deviation 58

Target’s average value or mean was 99 based on the estimates derived from the adjusted

closing stock prices. It is an attractive market stock because it aligns with the organization’s

increased revenue in 2016 and 2021. On the other hand, the median is 71 US Dollars. It is lesser

than the average value, portraying there are no irregularities on the lower side. This is shown as a

right skew, although this does not have a huge effect. The disparity in the observed results shows

there is no imbalance in value allocation. The mode for the data collected was 77. It is much

greater than median value, but lesser than the average value. This shows that there are lesser

repeating data sets. The standard deviation was 58. When calculating volatility for the data, the

formula used is Volatility = Standard Deviation/Mean. From this formula 58/99, which equals to

= 0.59%. This volatility is much lower, and therefore, Target is facing little risk. This lower

percentage informs individuals that the business is at a lower risk when buying the stock.

ii. Stock Volume

Calculations Results

Mean 5,310,763

Median 4,459,550

Mode 6,057,500

Standard Deviation 3,739,501

The average stock trading volume for Target Corporation is 5,310,763. When compared

to the organization’s daily shares and trading volume, Target benefits from the results. The

median for the company is 4,459,550, which is below average. This means the outliers will fall
to the right, accompanied by skewed right-shifted data. The data also shows that Target has an

irregular increase in trading stock volume. With a standard deviation of 3,739,501, the company

gives a volatility of 0.70%. This number is low and implies fewer discrepancies in Target’s stock

trading volume.

5.0. Conclusions and Recommendations

Business researchers use graphical representations to obtain more information about

companies and then make valid conclusions. The highest and lowest stock prices show that the

firm requires an extended period to recover and raise its value. The management must track and

assess the tendency to raise stock values before the end of 2021. Looking at data from 2016 to

2021, Target’s trading stock showed a volatility of 0.70%. It indicates that Target’s stock

exchange rate is fair and can be predicted. The company’s management should be informed and

monitor various elements. For instance, pattern monitoring allows the company to boost its sales

and earnings, while reducing depreciation and risks. Analyzing the scatterplots shows uniformity

in prices during the first 3 years, that is 2016 to 2019. The linear trends in both scatterplots [first

3 years] enables the company to determine the most profitable items in the market.

Consequently, the executives must track this pattern in the future years to make improvements in

the future.

Based on these results, Target Corporation’s management must decide the right time to

introduce new commodities to improve sales and boost profitability. Understanding the market

trends will enable the executives to buy, manage, and trade shares. From the histogram

information, the company has been facing constant or uniform growth in the first 2.5 years. This

trend can also assist the management to minimize or preserve commodities for a more lucrative

future. The histograms also provide beneficial information to the business. For instance, the low
volatility of 0.59% for adjusted daily stock prices and the larger volatility of 0.70% for the stock

trading volume were calculated. Through this data, the company gains detailed insights for

improving its internal processes. For Target Corporation to thrive, additional capital will be

sourced using this data and accompanying conclusions. Business researchers would advise

investors to invest at Target based on the low volatility of 0.70%. Large companies could

highlight the target’s volatility as lower risk and high-profit investment. Accordingly, the

significant volatility indicates that investors cannot lose their capital, and will reap big from the

investment.
 References

Microsoft. (2022 [a]). Create a histogram. Retrieved from Microsoft:

[Link]

80f17ff2f4e8

Microsoft. (2022 [b]). Present your data in a scatter chart or a line chart. Retrieved from

Microsoft: [Link]

a-line-chart-4570a80f-599a-4d6b-a155-104a9018b86e

Microsoft. (2022 [c]). Use the Analysis ToolPak to perform complex data analysis. Retrieved

from Microsoft: [Link]

toperform-complex-data-analysis-6c67ccf0-f4a9-487c-8dec-bdb5a2cefab6

Target (2021, December 4). Target Company Stats. [Link]/. Retrieved December 5, 2023,

from [Link]

TARGET CORPORATION (2018, February 3). Form 10-K - ANNUAL REPORT PURSUANT

TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934. UNITED

STATES SECURITIES AND EXCHANGE COMMISSION. Retrieved December 5,

2023, from [Link]

[Link]

Target Corporation (TGT) (n.d.). Target's Stock History. [Link]/. Retrieved

December 5, 2023, from [Link]

period1=1617408000&period2=1648944000&interval=1d&filter=history&frequency=1d

&includeAdjustedClose=true
Yahoo Finance. (2022). Retrieved from Yahoo Finance: [Link]

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