Strong holiday season demand Target Corporation (TGT.US) raises Q4 comparable sales guidance.

Due to holiday season sales performing better than expected, Target Corporation (TGT.US) currently expects comparable sales for the fourth quarter ending in January to increase by approximately 1.5%, compared to previous expectations of flat sales. The company maintains its profit guidance unchanged. For over a year, Target Corporation has struggled to boost sales due to consumers cutting back on spending on non-essential items like home goods. Home goods have always been one of the company's strongest selling categories. Due to a series of mistakes in inventory and product mix, the retailer lowered profit expectations at the end of last year, leading to a significant drop in stock prices. Meanwhile, Target Corporation's main competitor Walmart Inc. (WMT.US) reported strong performance, highlighting the different paths the two companies are taking. However, the latest results show that Target Corporation is making progress. During the "Black Friday" and "Cyber Monday" promotions, online and in-store traffic increased by nearly 3%, driving record sales. Comparable sales in November and December increased by 2%. Holiday sales data released by retailers show mixed results for the industry. Lululemon Athletica (LULU.US) and American Eagle Outfitters (AEO.US) raised their guidance earlier this week, citing better-than-expected performance, while Macy's, Inc. (M.US) issued a pessimistic outlook. Target Corporation stated that sales of non-essential products, especially clothing and toys, improved compared to the previous quarter. The company specifically noted that their $25 leggings (a popular alternative to Lululemon's best-selling products) were in high demand. In order to boost sales, Target Corporation also announced some leadership changes. Current Senior Vice President of Store Operations, Adrienne Costanzo, will replace the retiring Mark Schindele as Chief Store Officer. Senior Vice President Sarah Travis, responsible for social commerce and Target Corporation's digital advertising business, will be promoted to Chief Digital and Revenue Officer. At the time of writing, Target Corporation's stock price fell 1.29% in pre-market trading, after rising nearly 5% earlier. The stock fell by 5.1% last year, while the S&P 500 index rose by 23% during the same period.