The article argues Target is a better-value, higher-dividend alternative to Nike. Nike shares are down 40% this year, and its fiscal 2027 guidance calls for revenue to fall in the high single digits and adjusted EPS of $1.15 to $1.35, down from $2.10 in fiscal 2026. Target shares are up 57% year to date after four years of negative returns, with a $6 billion investment plan, Q2 sales up 5%, and raised fiscal 2026 guidance. Its $1.16 dividend has been raised for 57 consecutive years, yielding 2.93% with a 45% payout ratio. Nike trades at 17 times earnings and 21 times forward earnings, while Target trades at 16 times earnings and 15 times forward earnings.
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