Target Corp. posted a surprise rise in holiday-quarter sales on Tuesday on higher store visits from discount-hungry Americans, even as it joined other retailers to caution on 2023 earnings due to an uncertain U.S. economy.
Shares rose 2 percent as the company beat quarterly profit estimates for the first time in a year.
Surging prices over the last year have hurt demand for non-essential products, forcing retailers to cut prices on everything from toys to electronics to clear stocks.
The discounts helped drive a 0.7 percent increase in customer traffic during Target’s fourth quarter, but contributed to a 3 percentage point decline in gross margins….