Target's shares have risen significantly this year, driven by optimism for a turnaround under new CEO Michael Fiddelke. However, this week's second-quarter earnings report will test investor expectations. Deutsche Bank analyst Krisztina Katai notes that while expectations are high for the Q2 print (estimated comparable sales increase of 2.3% and EPS of $2.29), the key debate is whether improved store and merchandising execution can sustain growth beyond fiscal year 2027. Jefferies analyst Corey Tarlowe highlights Target's extensive merchandising refresh, which is already translating into better traffic trends, suggesting the market may be underestimating the durability of these benefits. Despite a strong Q1 performance, Katai remains on the sidelines, awaiting clearer evidence of sustainable market share gains rather than just easier year-over-year comparisons.