Walmart tops Target in earnings preview

Victoria Greene compares Walmart's clear strategy with Target's leadership questions ahead of this week's earnings.

Walmart Pulls Ahead of Target in Earnings Preview

Victoria Greene, investment chief at G Squared Private Wealth, says Walmart has a clearer plan for its customers while Target looks uncertain about its direction. Target is set to report on Wednesday after the close, with Walmart following on Thursday. Greene argues Target has lost its way and has struggled to present a single identity after a heated DEI debate that drew reactions from across the political spectrum.

Greene expects Target to show softer same store sales and traffic, potentially offset by higher prices. She thinks a leadership change could help, but not in time to boost this week's numbers. In contrast, she expects Walmart to deliver solid traffic and rising e-commerce growth as its pricing and store accessibility draw shoppers.

Walmart’s positioning as the retailer that knows what it wants to be matters in a market where shoppers notice the difference between a clear plan and a drifting one. If Walmart exceeds expectations, the result could sharpen the focus on pricing power and the role of online growth in a brick and mortar led format. Target’s hurdles, including leadership questions, may overshadow near term results and invite broader debate about corporate priorities.

The debate around Target’s strategy, including its DEI stance, signals how sensitive retail narratives have become for investors. The upcoming earnings will test whether a strong balance sheet and price discipline can compensate for strategic uncertainty and political headwinds. The broader lesson may be that clarity of purpose matters more than ever in a fast changing consumer landscape.

Highlights

The season will reveal how much leadership clarity matters in a crowded market.