Target moves to elevate supply chain operations, inventory reliability
Key takeaways
- Target moves to elevate supply chain operations, inventory reliability.
- Management stressed that inventory reliability is a top priority after recent periods in which popular merchandise sold out, leaving money on the table and frustrating customers.
- “Our go-forward strategy is focused on . . . product availability, ship-to-home speed, and improved leverage on supply chain expenses.
Target moves to elevate supply chain operations, inventory reliability. A shopper drives by a Target store in Roseville, California, on Jan. 25, 2025. Target recently opened its 2,000th store. (Photo: Shutterstock/Chris Allan) Eric Kulisch Thu, May 21, 2026 at 9:08 PM GMT+7 4 min read TGT Target is upgrading its supply chain to support new CEO Michael Fiddelke’s turnaround plan, but better logistics performance already led to more stable inventory levels and revenue growth in the first quarter.
The retailer on Wednesday posted its strongest quarterly sales gain in more than three years during the first three months of 2026, with net sales up 6.7% to $25.4 billion and comparable store sales growing 5.6% year over year. Quarterly profits of adjusted earnings per share of $1.71 came in above expectations, but a 25% decline in net income suggests that higher investment in merchandise assortments, store modernization and marketing is costly at a time of uncertain consumer momentum.
Management stressed that inventory reliability is a top priority after recent periods in which popular merchandise sold out, leaving money on the table and frustrating customers.