Target Punished Despite Q3 Beat

Target Corporation TGT shares are trading lower by $5.40 (9 percent) at $54.69 in Wednesday's session.

The Street isn't impressed with its Q3 adjusted EPS beat of 5 cents along with a slight beat for sales. Although the company guided lower for Q4, they raised FY adjusted EPS from $4.34-$4.54 to $4.40-$4.60 vs. $4.52 estimates.

See Also: Telsey Analyst: Target's Earnings Shows It's 'Squeezed' Between Two Major Rivals

After a much lower open, Target attempted to rally but got no further than $56.33 before continuing its move lower.

At this time, the stock is finding buyers in the lower $54.00 handle, rebounding off $54.13 early into the session and once again at 10:58 a.m. ET, when it made a new intraday low at $54.06. That low coincides with a series of five lows in that area ($53.90-$54.18) from August 24-28.