Target increased its quarterly dividend by 20% on Thursday, despite the US retailer warning of weaker profit margins earlier this week.
The company’s shares were up about 1% at 12:07 pm ET, after having lost nearly a third of their value so far this year.
The company on Tuesday cut a quarterly profit margin forecast issued less than a month ago, saying it will offer more discounts and cancel orders from suppliers to reduce excess inventories.
Analysts expect Target to eliminate excess inventory by August, getting ready to return to stronger results in the back-to-school season and holiday shopping in the US.
Target, which has increased a quarterly dividend every year since going public in 1967, last year increased shareholder remuneration by 32%.
Source: CNN Brasil
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