Is Target Corporation (TGT) the worst blue chip stock to buy?

We recently released a list Buy 10 Worst Blue Chip Stocks. In this article, we will look at the stance of Target Corporation (NYSE:TGT) with other worst blue chip stocks.

According to Niamh Brodie-Machura, co-chief investment officer of Fidelity International, the effect of tariffs is expected to shift lower when trading, supply chain adaptation, and some adjustments to the consumption patterns of witnesses for lower tariffs have been made, with witness witness demand relatively increasing. However, there is still a period of volatility and investors who plan to increase risk should be careful. Amid uncertainty, the environment is an opportunity to better position the portfolio as resilience.

Contrary to expectations, Blackrock emphasized in its April 23 release that international stocks outperformed U.S. stocks in 2025, with U.S. stocks down 11%. U.S. growth stocks fell 10%, while U.S. value stocks rose 2%. As value stocks continue to favor growth stocks, this transition indicates that there are significant market rotations throughout the geographic and style markets. Asset managers say that in the U.S. market, value stocks, mainly perform well in defense departments such as health care.

BlackRock also added that narrowing of the earnings gap and attractive features of the industry, such as innovation and growth in the aging population, have been intensifying performance. It is worth noting that active management strategies are beneficial when navigating volatile markets.

Also read: 7 Best Stocks to Buy Long-Term and 8 Cheap Jim Cramer Stock Investing.

BlackRock believes that large U.S. stocks are the only major U.S. index with a major U.S. return to YTD as of March 31. In value stocks, its investors are finding opportunities in the defensive sector. In the current rapidly developing political environment, mainly new trade policies, value stocks can have additional headwinds. This stems from their ability to earn more income from the United States.

The Trust, a private wealth management company, said that if elsewhere, if the tariff discussion lasts more than expected, or the average tariff rate is different from the current expectations, it is important to make portfolio changes. It is worth noting that capital expenditures on AI are expected to remain strong, and AI may promote long-term productivity. The company also believes that changes will be made to the bank's capital ratio rules, allowing it to enhance loans and/or increase stock buybacks. Both measures can increase income.

To list the 10 worst blue chip stock inventory to buy, we scanned the shares of SPDR® S&P500® ETFTrust and selected the YTD declined stock. After getting the list of expanded inventory, we selected stocks that are popular in hedge funds. Ultimately, as of the fourth quarter of 2024, these stocks were ranked in the rising order of their hedge fund holdings.

Why are we interested in stocks that hedge funds to accumulate? The reason is simple: Our research shows that we can beat the market by mimicking the top stocks of the best hedge funds. Our strategy for quarterly newsletters selects 14 small and large stocks every quarter, returning 373.4% since May 2014, beating its benchmark by 218 percentage points (See more details here).

Is Target Corporation (TGT) the worst blue chip stock to buy?
Is Target Corporation (TGT) the worst blue chip stock to buy?

A woman is buying groceries at a target store full of products.

Number of hedge fund holders: 56

% decrease in YTD: ~29.7%

Target Corporation (NYSE: TGT) is a regular commodity retailer. DBS analyst Mavis Hui reiterated the "buy" rating of the company's stock, keeping its price target at $188.00. Analysts’ ratings are supported by factors that demonstrate company health performance and strategic planning. Analysts added that the adjusted EPS growth was helped by restoring customer traffic and gross margin improvements. Target Corporation (NYSE: TGT) emphasis on omnichannel growth remains a key factor in analyst ratings. The company continues to enhance its online and offline sales integration.

Additionally, investments in store remodeling and partnerships with good brands like Apple and Disney can be rehearsed online and in-store sales, the analyst said. HUI added that the effective utilization of Target Corporation (NYSE: TGT) using physical stores as logistics centers results in lower delivery costs, which can offset potential marginal pressure. Despite concerns related to inflationary pressures, Target Corporation’s (NYSE:TGT)’s strong customer loyalty and operational efficiency enhancements support the favorable prospects for future earnings growth. The company’s digital initiatives can provide valuable data insights that enable it to optimize inventory management, personalize products, and increase operational efficiency. Target Corporation (NYSE:TGT) investment in supply chain enhancement capabilities and inventory management systems can also lead to operational efficiency.

Overall, TGT Ranked 10th On our list of the worst blue chip stocks to buy. Although we acknowledge the potential of TGT as an investment, our belief is that some undervalued AI stocks have greater hope of offering higher returns and do so in a shorter time frame. AI stocks have risen since the beginning of 2025, while popular AI stocks have lost about 25%. If you are looking for an undervalued AI stock that is more promising than TGT but has traded less than 5 times the price of its earnings, check out our report Cheapest AI stocks.

Read the next article: Buy 20 Best AI Stocks Now and According to the billionaire, there are now 30 best stocks.

Disclosure: None. This article was originally published in Inside monkey.