Target’s May Sales Down Slightly4 Jun, 2009 By: Chris Tribbey
Target Corp. reported June 4 that its May retail sales were down 2.3% to $4.45 billion, compared to $4.56 billion during May 2008. Same-store sales slipped 6.1%.
“Sales for the month of May were somewhat below our expectations,” said Target chairman, president and CEO Gregg Steinhafel.
Stacey Widlitz, analyst with Pali Capital, said Target’s numbers portend a “heightened” concern regarding entertainment software sales, including music, movies and books.
“This comes just two weeks after [video game retailer] GameStop warned that it feared the economy was taking a toll on console and game sales in the second quarter and gave guidance below expectations,” Widlitz said in note.
Target, which operates nearly 1,700 stores in 49 states, reported in late May that first-quarter earnings were off by 13% year-over-year.