Walmart Soars as Target Struggles Amid Retail Divergence

Walmart and Target's recent earnings reports highlight a growing divergence in their performance, with Walmart reaching an all-time high in stock value while Target hit a 52-week low. Target's earnings miss and reduced forecast are attributed to a decline in discretionary spending and higher costs, while Walmart benefits from increased sales in non-grocery items and gains in upper-income shoppers. Analysts suggest Target is losing market share to competitors like Walmart, Amazon, and Costco, and its reliance on discretionary items makes it more vulnerable to economic shifts.