Investing.com - Shares of Target (NYSE:TGT) were headed for their biggest one-day decline since December 2008 on Tuesday after the retail giant missed profit expectations and provided a downbeat outlook.
Target said adjusted earnings per share came in at $1.45 in the fourth quarter, missing expectations for adjusted earnings of $1.51 per share.
The company’s fourth quarter revenue totaled $20.69 billion, below forecasts for revenue of $21.19 billion.
Fourth quarter comparable sales decreased 1.5%.
The second largest U.S. retailer lowered its full-year outlook, saying it will earn $3.80 to $4.20 in its current fiscal year, compared to consensus expectations of $5.37.
“Our fourth quarter results reflect the impact of rapidly-changing consumer behavior, which drove very strong digital growth but unexpected softness in our stores,” said Brian Cornell, chairman and CEO of Target.
Following the release of the report, Target shares plunged almost $10, or about 15%, in pre-market trade to $57.15 from a closing price of $66.91 on Monday.