Top Retail Stocks Poised for Year-End Rally, Says Piper Sandler

Arhaus reported an 84% year-over-year increase in web traffic for September and a 60% rise for Q3. Jefferies raised its 2027 EBITDA forecast by 6% above consensus, setting a $12 price target, suggesting 20% upside. The bank attributes the growth to a larger mailing list and increased digital marketing.

HSBC upgraded Target Corp (TGT) to Buy, raising its price target to $190 from $125. The move follows strong Q2 sales and progress in Target's turnaround strategy. Target offers a 2.93% dividend yield with a 47% payout ratio. The stock is modestly overvalued relative to its GF Value of $132.72, with a GF Score of 75. HSBC also raised its FY2027 EPS estimate to $10.61 from $8.26.

Loop Capital's Anthony Chukumba upgraded Dollar Tree (DLTR) to Buy with a $140 target, citing consumer 'trading down' and multi-price strategy. He expects healthy comparable sales and share buybacks to boost value.

Loop Capital's Anthony Chukumba upgraded Dollar Tree (DLTR) to Buy, raising the target price to $140, citing increased bargain hunting ahead of the holiday season. The analyst sees 23% upside from current levels. Dollar Tree has reportedly attracted more affluent customers seeking deals.

Loop Capital upgraded Dollar Tree (DLTR) to buy, raising its price target to $140 from $130, citing favorable macroeconomic conditions and the company's multi-price initiative. The analyst believes the recent decline in consumer confidence will benefit Dollar Tree, and the sale of Family Dollar will free up capital. Shares are down 13% in the past month.

HSBC upgraded Target (TGT) to 'Buy' with a $190 price target, citing improved customer traffic and earnings guidance. Target's dividend yield is 2.88%, and its GF Score is 77/100. Insider sales totaled $10.96M over three months, raising concerns. The stock is currently overvalued by 18.1% according to GF Value.