Retail Giants Post Higher Sales but Consumers Show Signs of Strain

Retail giants Target and Walmart reported higher sales for the fiscal first quarter this week, but offered a cloudy outlook amid signs of strain in the low-income segment of the consumer market.

Target reported $25.4 billion in sales for the first quarter of fiscal 2026, which ended on May 2, up by 6.7 percent from a year earlier. Comparable sales rose 5.6 percent, led by a 4.4 percent rise in traffic and strong growth across all six core merchandise categories.