Target (TGT) 10-Q 30 Aug 19 2019 Q2 Quarterly report Financial data

Cover Page

Cover Page - shares	6 Months Ended
	Aug. 03, 2019	Aug. 26, 2019
Cover page.
Document Type	10-Q
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Aug. 3, 2019
Entity File Number	1-6049
Entity Registrant Name	TARGET CORP
Entity Incorporation, State or Country Code	MN
Entity Tax Identification Number	41-0215170
Entity Address, Address Line One	1000 Nicollet Mall
Entity Address, City or Town	Minneapolis
Entity Address, State or Province	MN
Entity Address, Postal Zip Code	55403
City Area Code	612
Local Phone Number	304-6073
Title of 12(b) Security	Common stock, par value $0.0833 per share
Trading Symbol	TGT
Entity Central Index Key	0000027419
Security Exchange Name	NYSE
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Large Accelerated Filer
Entity Small Business	false
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Common Stock, Shares Outstanding		510,928,517
Amendment Flag	false
Current Fiscal Year End Date	--02-01
Document Fiscal Year Focus	2019
Document Fiscal Period Focus	Q2

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Revenue	$ 18,422	$ 17,776	$ 36,049	$ 34,558
Cost of sales	12,625	12,239	24,874	23,865
Selling, general and administrative expenses	3,912	3,865	7,575	7,410
Depreciation and amortization (exclusive of depreciation included in cost of sales)	561	539	1,142	1,109
Operating income	1,324	1,133	2,458	2,174
Net interest expense	120	115	246	237
Net other (income) / expense	(13)	(4)	(27)	(12)
Earnings from continuing operations before income taxes	1,217	1,022	2,239	1,949
Provision for income taxes	279	223	509	433
Net earnings from continuing operations	938	799	1,730	1,516
Discontinued operations, net of tax	0	0	3	1
Net earnings	$ 938	$ 799	$ 1,733	$ 1,517
Basic earnings per share
Continuing operations (in dollars per share)	$ 1.83	$ 1.50	$ 3.37	$ 2.84
Discontinued operations (in dollars per share)	0	0	0.01	0
Net earnings per share (in dollars per share)	1.83	1.50	3.37	2.84
Diluted earnings per share
Continuing operations (in dollars per share)	1.82	1.49	3.34	2.81
Discontinued operations (in dollars per share)	0	0	0.01	0
Net earnings per share (in dollars per share)	$ 1.82	$ 1.49	$ 3.35	$ 2.82
Weighted average common shares outstanding
Basic (in shares)	512.1	531.7	513.9	534.3
Diluted (in shares)	516.1	536.3	517.8	538.6
Antidilutive shares (in shares)	0	0	0	0
Sales
Revenue	$ 18,183	$ 17,552	$ 35,584	$ 34,108
Other revenue
Revenue	$ 239	$ 224	$ 465	$ 450

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Statement of Comprehensive Income [Abstract]
Net earnings	$ 938	$ 799	$ 1,733	$ 1,517
Other comprehensive income
Pension, net of tax	10	16	20	29
Currency translation adjustment and cash flow hedges, net of tax	0	(2)	3	(5)
Other comprehensive income	10	14	23	24
Comprehensive income	$ 948	$ 813	$ 1,756	$ 1,541

Consolidated Statements of Fina

Consolidated Statements of Financial Position - USD ($) $ in Millions	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Assets
Cash and cash equivalents	$ 1,656	$ 1,556	$ 1,180
Inventory	9,122	9,497	9,112
Other current assets	1,341	1,466	1,211
Total current assets	12,119	12,519	11,503
Property and equipment
Land	6,054	6,064	6,074
Buildings and improvements	29,908	29,240	28,629
Fixtures and equipment	5,622	5,912	5,356
Computer hardware and software	2,627	2,544	2,575
Construction-in-progress	667	460	685
Accumulated depreciation	(18,866)	(18,687)	(18,147)
Property and equipment, net	26,012	25,533	25,172
Operating lease assets	2,062	1,965	1,976
Other noncurrent assets	1,373	1,273	1,345
Total assets	41,566	41,290	39,996
Liabilities and shareholders’ investment
Accounts payable	9,152	9,761	9,116
Accrued and other current liabilities	4,059	4,201	3,878
Current portion of long-term debt and other borrowings	1,153	1,052	1,044
Total current liabilities	14,364	15,014	14,038
Long-term debt and other borrowings	10,365	10,223	10,108
Noncurrent operating lease liabilities	2,111	2,004	2,028
Deferred income taxes	1,082	972	828
Other noncurrent liabilities	1,808	1,780	1,827
Total noncurrent liabilities	15,366	14,979	14,791
Shareholders’ investment
Common stock	43	43	44
Additional paid-in capital	6,114	6,042	5,788
Retained earnings	6,461	6,017	6,058
Accumulated other comprehensive loss	(782)	(805)	(723)
Total shareholders’ investment	11,836	11,297	11,167
Total liabilities and shareholders’ investment	$ 41,566	$ 41,290	$ 39,996

Consolidated Statements of Fi_2

Consolidated Statements of Financial Position (Parenthetical) - $ / shares	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Statement of Financial Position [Abstract]
Common stock, shares authorized	6,000,000,000	6,000,000,000	6,000,000,000
Common stock, par value (in dollars per share)	$ 0.0833	$ 0.0833	$ 0.0833
Common stock, shares issued	511,335,375	517,761,600	526,112,846
Common stock, shares outstanding	511,335,375	517,761,600	526,112,846
Preferred stock, shares authorized	5,000,000	5,000,000	5,000,000
Preferred stock, par value (in dollars per share)	$ 0.01	$ 0.01	$ 0.01
Preferred stock, shares issued	0	0	0
Preferred stock, shares outstanding	0	0	0

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018
Operating activities
Net earnings	$ 1,733	$ 1,517
Earnings from discontinued operations, net of tax	3	1
Net earnings from continuing operations	1,730	1,516
Adjustments to reconcile net earnings to cash provided by operations
Depreciation and amortization	1,267	1,234
Share-based compensation expense	86	71
Deferred income taxes	104	129
Noncash losses / (gains) and other, net	42	99
Changes in operating accounts
Inventory	375	(515)
Other assets	64	1
Accounts payable	(731)	342
Accrued and other liabilities	(127)	(154)
Cash provided by operating activities—continuing operations	2,810	2,723
Cash provided by operating activities—discontinued operations	2	1
Cash provided by operations	2,812	2,724
Investing activities
Expenditures for property and equipment	(1,394)	(1,856)
Proceeds from disposal of property and equipment	10	15
Other investments	0	3
Cash required for investing activities	(1,384)	(1,838)
Financing activities
Additions to long-term debt	994	0
Reductions of long-term debt	(1,026)	(255)
Dividends paid	(658)	(665)
Repurchase of stock	(662)	(954)
Accelerated share repurchase pending final settlement	0	(525)
Stock option exercises	24	50
Cash required for financing activities	(1,328)	(2,349)
Net increase / (decrease) in cash and cash equivalents	100	(1,463)
Cash and cash equivalents at beginning of period	1,556	2,643
Cash and cash equivalents at end of period	1,656	1,180
Supplemental information
Leased assets obtained in exchange for new finance lease liabilities	156	15
Leased assets obtained in exchange for new operating lease liabilities	$ 195	$ 169

Consolidated Statements of Shar

Consolidated Statements of Shareholders' Investment - USD ($) $ in Millions	3 Months Ended						6 Months Ended
	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Aug. 03, 2019	Aug. 04, 2018
Increase (Decrease) in Shareholders' Investment
Beginning balance (in shares)		517,761,600		526,112,846			517,761,600
Beginning balance	$ 11,117	$ 11,297	$ 11,080	$ 11,167	$ 11,158	$ 11,651	$ 11,297	$ 11,651
Net earnings	938	795	799	622	799	718	1,733	1,517
Other comprehensive income (loss)	10	13	(91)	9	14	10	$ 23	$ 24
Dividends declared	(341)	(330)	(336)	(338)	(341)	(333)
Repurchase of stock	59	(277)	(167)	(2)	(7)	(494)
Accelerated share repurchase pending final settlement		(400)		(450)	(525)	(425)
Stock options and awards	$ 53	19	$ 12	72	$ 69	31
Ending balance (in shares)	511,335,375		517,761,600		526,112,846		511,335,375	526,112,846
Ending balance	$ 11,836	$ 11,117	$ 11,297	$ 11,080	$ 11,167	$ 11,158	$ 11,836	$ 11,167
Common Stock
Increase (Decrease) in Shareholders' Investment
Beginning balance (in shares)	512,300,000	517,800,000	521,800,000	526,100,000	532,900,000	541,700,000	517,800,000	541,700,000
Beginning balance	$ 43	$ 43	$ 43	$ 44	$ 44	$ 45	$ 43	$ 45
Repurchase of stock (in shares)	(1,300,000)	(3,600,000)	(4,700,000)	(1,700,000)	(2,900,000)	(6,900,000)
Repurchase of stock				$ (1)		$ (1)
Accelerated share repurchase pending final settlement (in shares)		(3,000,000)		(3,500,000)	(4,600,000)	(2,900,000)
Stock options and awards (in shares)	300,000	1,100,000	700,000	900,000	700,000	1,000,000
Ending balance (in shares)	511,300,000	512,300,000	517,800,000	521,800,000	526,100,000	532,900,000	511,300,000	526,100,000
Ending balance	$ 43	$ 43	$ 43	$ 43	$ 44	$ 44	$ 43	$ 44
Additional Paid-in Capital
Increase (Decrease) in Shareholders' Investment
Beginning balance	5,908	6,042	5,867	5,788	5,664	5,858	6,042	5,858
Repurchase of stock	153		163	170	225
Accelerated share repurchase pending final settlement		(153)		(163)	(170)	(225)
Stock options and awards	53	19	12	72	69	31
Ending balance	6,114	5,908	6,042	5,867	5,788	5,664	6,114	5,788
Retained Earnings
Increase (Decrease) in Shareholders' Investment
Beginning balance	5,958	6,017	5,884	6,058	6,187	6,495	6,017	6,495
Net earnings	938	795	799	622	799	718
Dividends declared	(341)	(330)	(336)	(338)	(341)	(333)
Repurchase of stock	(94)	(277)	(330)	(171)	(232)	(493)
Accelerated share repurchase pending final settlement		(247)		(287)	(355)	(200)
Ending balance	6,461	5,958	6,017	5,884	6,058	6,187	6,461	6,058
Accumulated Other Comprehensive (Loss)/Income
Increase (Decrease) in Shareholders' Investment
Beginning balance	(792)	(805)	(714)	(723)	(737)	(747)	(805)	(747)
Other comprehensive income (loss)	10	13	(91)	9	14	10
Ending balance	$ (782)	$ (792)	$ (805)	$ (714)	$ (723)	$ (737)	$ (782)	$ (723)

Consolidated Statements of Sh_2

Consolidated Statements of Shareholders' Investment (Parenthetical) - $ / shares	3 Months Ended		12 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Feb. 02, 2019
Statement of Stockholders' Equity [Abstract]
Dividends declared per share (in dollars per share)	$ 0.66	$ 0.64	$ 2.54

Accounting Policies

Accounting Policies	6 Months Ended
	Aug. 03, 2019
Accounting Policies [Abstract]
Accounting Policies	Accounting Policies These unaudited condensed consolidated financial statements are prepared in accordance with the rules and regulations of the Securities and Exchange Commission (SEC) applicable to interim financial statements. While these statements reflect all normal recurring adjustments that are, in the opinion of management, necessary for fair presentation of the results of the interim period, they do not include all of the information and footnotes required by United States (U.S.) generally accepted accounting principles (U.S. GAAP) for complete financial statements. These condensed consolidated financial statements should be read in conjunction with the financial statement disclosures in our 2018 Form 10-K. We use the same accounting policies in preparing quarterly and annual financial statements. Unless otherwise noted, amounts presented within the Notes to Consolidated Financial Statements refer to our continuing operations. We operate as a single segment that includes all of our continuing operations, which are designed to enable guests to purchase products seamlessly in stores or through our digital channels. Nearly all of our revenues are generated in the U.S. The vast majority of our long-lived assets are located within the U.S. Due to the seasonal nature of our business, quarterly revenues, expenses, earnings, and cash flows are not necessarily indicative of the results that may be expected for the full year.

Revenues

Revenues	6 Months Ended
	Aug. 03, 2019
Revenue from Contract with Customer [Abstract]
Revenues	Revenues General merchandise sales represent the vast majority of our revenues. We also earn revenues from a variety of other sources, most notably credit card profit sharing income from our arrangement with TD Bank Group (TD). Revenues Three Months Ended Six Months Ended (millions) August 3, August 4, August 3, August 4, Apparel and accessories (a) $ 3,656 $ 3,470 $ 6,946 $ 6,584 Beauty and household essentials (a) 5,076 4,784 10,047 9,401 Food and beverage 3,460 3,372 7,182 6,959 Hardlines 2,503 2,501 4,889 4,814 Home furnishings and décor 3,457 3,402 6,458 6,304 Other 31 23 62 46 Sales 18,183 17,552 35,584 34,108 Credit card profit sharing 168 167 328 333 Other 71 57 137 117 Other revenue 239 224 465 450 Total revenue $ 18,422 $ 17,776 $ 36,049 $ 34,558 (a) We reclassified certain non-apparel baby merchandise sales totaling $398 million and $854 million for the three and six months ended August 3, 2019 , respectively, and $373 million and $763 million for the three and six months ended August 4, 2018 , respectively, from Apparel and Accessories to Beauty and Household Essentials. We record almost all retail store revenues at the point of sale. Digitally originated sales may include shipping revenue and are recorded upon delivery to the guest or upon guest pickup at the store. Sales are recognized net of expected returns, which we estimate using historical return patterns and our expectation of future returns. As of August 3, 2019 , February 2, 2019 , and August 4, 2018 , the accrual for estimated returns was $131 million , $116 million , and $114 million , respectively. We have not historically had material adjustments to our returns estimates. Revenue from Target gift card sales is recognized upon gift card redemption, which is typically within one year of issuance. (millions) February 2, Gift Cards Issued During Current Period But Not Redeemed (a) Revenue Recognized From Beginning Liability August 3, Gift card liability $ 840 $ 317 $ (465 ) $ 692 (a) Net of estimated breakage. Credit card profit sharing – We receive payments under a credit card program agreement with TD. Under the agreement, we receive a percentage of the profits generated by the Target Credit Card and Target MasterCard receivables in exchange for performing account servicing and primary marketing functions. TD underwrites, funds, and owns Target Credit Card and Target MasterCard receivables, controls risk management policies, and oversees regulatory compliance.

Fair Value Measurements

Fair Value Measurements	6 Months Ended
	Aug. 03, 2019
Fair Value Disclosures [Abstract]
Fair Value Measurements	Fair Value Measurements Fair value measurements are reported in one of three levels reflecting the valuation techniques used to determine fair value. Fair Value Measurements - Recurring Basis Fair Value at (millions) Classification Pricing Category August 3, February 2, August 4, Assets Short-term investments Cash and Cash Equivalents Level 1 $ 796 $ 769 $ 353 Prepaid forward contracts Other Current Assets Level 1 20 19 22 Interest rate swaps Other Noncurrent Assets Level 2 108 10 — Liabilities Interest rate swaps Other Current Liabilities Level 2 — 3 7 Interest rate swaps Other Noncurrent Liabilities Level 2 — — 2 Significant Financial Instruments not Measured at Fair Value (a) (millions) August 3, 2019 February 2, 2019 August 4, 2018 Carrying Amount Fair Value Carrying Amount Fair Value Carrying Amount Fair Value Long-term debt, including current portion (b) $ 10,244 $ 11,635 $ 10,247 $ 10,808 $ 10,243 $ 10,682 (a) The carrying amounts of certain other current assets, commercial paper, accounts payable, and certain accrued and other current liabilities approximate fair value due to their short-term nature. (b) The fair value of debt is generally measured using a discounted cash flow analysis based on current market interest rates for the same or similar types of financial instruments and would be classified as Level 2. These amounts exclude commercial paper, unamortized swap valuation adjustments, and lease liabilities.

Property and Equipment

Property and Equipment	6 Months Ended
	Aug. 03, 2019
Property, Plant and Equipment [Abstract]
Property and Equipment	Property and Equipment We review long-lived assets for impairment when store performance expectations, events, or changes in circumstances—such as a decision to relocate or close a store or distribution center, discontinue projects, or make significant software changes—indicate that the asset’s carrying value may not be recoverable. We recognized impairment charges of $10 million and $13 million during the three and six months ended August 3, 2019 , respectively, primarily resulting from store impairments. We recognized impairment charges of $78 million and $85 million during the three and six months ended August 4, 2018 , respectively, primarily resulting from planned store closures. The impairment charges are recorded in Selling, General and Administrative Expenses.

Commercial Paper and Long-Term

Commercial Paper and Long-Term Debt	6 Months Ended
	Aug. 03, 2019
Debt Disclosure [Abstract]
Commercial Paper and Long-Term Debt	Commercial Paper and Long-Term Debt In March 2019, we issued $1,000 million of 10 -year unsecured fixed rate debt at 3.375 percent, and in June 2019, we repaid $1,000 million of 2.3 percent unsecured fixed rate debt at maturity. Our commercial paper program provides a source of short-term financing. For the six months ended August 3, 2019 , the maximum amount outstanding was $744 million , and the average daily amount outstanding was $74 million at a weighted average annual interest rate of 2.4 percent . For the six months ended August 4, 2018 , the maximum amount outstanding was $658 million , and the average daily amount outstanding was $63 million at a weighted average annual interest rate of 1.8 percent . As of August 3, 2019 , and August 4, 2018 , no balances were outstanding.

Derivative Financial Instrument

Derivative Financial Instruments	6 Months Ended
	Aug. 03, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative Financial Instruments	Derivative Financial Instruments Our derivative instruments consist of interest rate swaps used to mitigate interest rate risk. As a result, we have counterparty credit exposure to large global financial institutions, which we monitor on an ongoing basis. Note 3 provides the fair value and classification of these instruments. In March 2019, we entered into interest rate swaps with a total notional amount of $1,000 million , and in June 2019, interest rate swaps with a total notional amount of $1,000 million matured. As of August 3, 2019 , we were party to interest rate swaps with notional amounts totaling $1,500 million , compared with $1,250 million as of August 4, 2018 . We pay a variable rate and receive a fixed rate under each of these agreements. All of the agreements are designated as fair value hedges, and all were perfectly effective during the three and six months ended August 3, 2019 , and August 4, 2018 . Effect of Hedges on Debt (millions) August 3, February 2, August 4, Current portion of long-term debt and other borrowings Carrying amount of hedged debt $ — $ 996 $ 992 Cumulative hedging adjustments, included in carrying amount — (3 ) (7 ) Long-term debt and other borrowings Carrying amount of hedged debt 1,600 508 247 Cumulative hedging adjustments, included in carrying amount 108 10 (2 ) Effect of Hedges on Net Interest Expense Three Months Ended Six Months Ended (millions) August 3, August 4, August 3, August 4, Gain (loss) on fair value hedges recognized in Net Interest Expense Interest rate swap designated as fair value hedges $ 86 $ 1 $ 101 $ (3 ) Hedged debt (86 ) (1 ) (101 ) 3 Total $ — $ — $ — $ —

Share Repurchase

Share Repurchase	6 Months Ended
	Aug. 03, 2019
Equity [Abstract]
Share Repurchase	Share Repurchase We periodically repurchase shares of our common stock under a board-authorized repurchase program through a combination of open market transactions, accelerated share repurchase (ASR) arrangements, and other privately negotiated transactions with financial institutions. Three Months Ended Six Months Ended (millions, except per share data) August 3, 2019 (a) August 4, 2018 (b) August 3, 2019 (a) August 4, 2018 (b) Total number of shares purchased 4.3 5.8 7.9 12.7 Average price paid per share $ 80.02 $ 74.31 $ 78.63 $ 72.64 Total investment $ 341 $ 431 $ 618 $ 925 (a) Includes activity related to the ASR arrangement entered in first quarter 2019 because final settlement occurred in second quarter 2019. Under the ASR arrangement, we repurchased 4.2 million shares for a total cash investment of $340 million . We did not enter into any new ASR arrangements during second quarter 2019. (b) Activity related to the second quarter 2018 ASR arrangement described below is omitted because final settlement had not occurred as of August 4, 2018. During the second quarter of 2018, we entered into an ASR arrangement to repurchase $400 to $525 million of our common stock. Under the agreement, we paid $525 million and received an initial delivery of 4.6 million shares, which were retired, resulting in a $355 million reduction to Retained Earnings. As of August 4, 2018 , $170 million was included as a reduction to Additional Paid-in Capital. Upon final settlement in the third quarter of 2018, we received an additional 0.2 million shares, which were retired, and $125 million for the remaining amount not settled in shares. In total, we repurchased 4.8 million shares under the ASR arrangement for a total cash investment of $400 million ( $83.88

Pension Benefits

Pension Benefits	6 Months Ended
	Aug. 03, 2019
Retirement Benefits [Abstract]
Pension Benefits	Pension Benefits We provide pension plan benefits to eligible team members. Net Pension Benefits Expense Three Months Ended Six Months Ended (millions) Classification August 3, August 4, August 3, August 4, Service cost benefits earned SG&A Expenses $ 23 $ 25 $ 46 $ 49 Interest cost on projected benefit obligation Net Other (Income) / Expense 37 37 74 73 Expected return on assets Net Other (Income) / Expense (62 ) (62 ) (124 ) (123 ) Amortization of losses Net Other (Income) / Expense 16 20 31 41 Amortization of prior service cost Net Other (Income) / Expense (3 ) (3 ) (5 ) (6 ) Settlement charges Net Other (Income) / Expense — 3 — 3 Total $ 11 $ 20 $ 22 $ 37

Accumulated Other Comprehensive

Accumulated Other Comprehensive (Loss) / Income	6 Months Ended
	Aug. 03, 2019
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Accumulated Other Comprehensive (Loss) / Income	Accumulated Other Comprehensive (Loss) / Income (millions) Cash Flow Hedges Currency Translation Adjustment Pension Total February 2, 2019 $ (13 ) $ (20 ) $ (772 ) $ (805 ) Other comprehensive income before reclassifications, net of tax — 3 — 3 Amounts reclassified from AOCI, net of tax — — 20 20 August 3, 2019 $ (13 ) $ (17 ) $ (752 ) $ (782 )

Revenues (Tables)

Revenues (Tables)	6 Months Ended
	Aug. 03, 2019
Revenue from Contract with Customer [Abstract]
Schedule of Revenue	Revenues Three Months Ended Six Months Ended (millions) August 3, August 4, August 3, August 4, Apparel and accessories (a) $ 3,656 $ 3,470 $ 6,946 $ 6,584 Beauty and household essentials (a) 5,076 4,784 10,047 9,401 Food and beverage 3,460 3,372 7,182 6,959 Hardlines 2,503 2,501 4,889 4,814 Home furnishings and décor 3,457 3,402 6,458 6,304 Other 31 23 62 46 Sales 18,183 17,552 35,584 34,108 Credit card profit sharing 168 167 328 333 Other 71 57 137 117 Other revenue 239 224 465 450 Total revenue $ 18,422 $ 17,776 $ 36,049 $ 34,558 (a) We reclassified certain non-apparel baby merchandise sales totaling $398 million and $854 million for the three and six months ended August 3, 2019 , respectively, and $373 million and $763 million for the three and six months ended August 4, 2018 , respectively, from Apparel and Accessories to Beauty and Household Essentials.
Schedule of Gift Card Liability	Revenue from Target gift card sales is recognized upon gift card redemption, which is typically within one year of issuance. (millions) February 2, Gift Cards Issued During Current Period But Not Redeemed (a) Revenue Recognized From Beginning Liability August 3, Gift card liability $ 840 $ 317 $ (465 ) $ 692 (a) Net of estimated breakage.

Fair Value Measurements (Tables

Fair Value Measurements (Tables)	6 Months Ended
	Aug. 03, 2019
Fair Value Disclosures [Abstract]
Schedule of Fair Value Measurements - Recurring Basis	Fair value measurements are reported in one of three levels reflecting the valuation techniques used to determine fair value. Fair Value Measurements - Recurring Basis Fair Value at (millions) Classification Pricing Category August 3, February 2, August 4, Assets Short-term investments Cash and Cash Equivalents Level 1 $ 796 $ 769 $ 353 Prepaid forward contracts Other Current Assets Level 1 20 19 22 Interest rate swaps Other Noncurrent Assets Level 2 108 10 — Liabilities Interest rate swaps Other Current Liabilities Level 2 — 3 7 Interest rate swaps Other Noncurrent Liabilities Level 2 — — 2
Schedule of Significant Financial Instruments not Measured at Fair Value	Significant Financial Instruments not Measured at Fair Value (a) (millions) August 3, 2019 February 2, 2019 August 4, 2018 Carrying Amount Fair Value Carrying Amount Fair Value Carrying Amount Fair Value Long-term debt, including current portion (b) $ 10,244 $ 11,635 $ 10,247 $ 10,808 $ 10,243 $ 10,682 (a) The carrying amounts of certain other current assets, commercial paper, accounts payable, and certain accrued and other current liabilities approximate fair value due to their short-term nature. (b) The fair value of debt is generally measured using a discounted cash flow analysis based on current market interest rates for the same or similar types of financial instruments and would be classified as Level 2. These amounts exclude commercial paper, unamortized swap valuation adjustments, and lease liabilities.

Derivative Financial Instrume_2

Derivative Financial Instruments (Tables)	6 Months Ended
	Aug. 03, 2019
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Schedule of derivatives	Effect of Hedges on Debt (millions) August 3, February 2, August 4, Current portion of long-term debt and other borrowings Carrying amount of hedged debt $ — $ 996 $ 992 Cumulative hedging adjustments, included in carrying amount — (3 ) (7 ) Long-term debt and other borrowings Carrying amount of hedged debt 1,600 508 247 Cumulative hedging adjustments, included in carrying amount 108 10 (2 ) Effect of Hedges on Net Interest Expense Three Months Ended Six Months Ended (millions) August 3, August 4, August 3, August 4, Gain (loss) on fair value hedges recognized in Net Interest Expense Interest rate swap designated as fair value hedges $ 86 $ 1 $ 101 $ (3 ) Hedged debt (86 ) (1 ) (101 ) 3 Total $ — $ — $ — $ —

Share Repurchase (Tables)

Share Repurchase (Tables)	6 Months Ended
	Aug. 03, 2019
Equity [Abstract]
Schedule of Share Repurchase (excluding ASR)	Three Months Ended Six Months Ended (millions, except per share data) August 3, 2019 (a) August 4, 2018 (b) August 3, 2019 (a) August 4, 2018 (b) Total number of shares purchased 4.3 5.8 7.9 12.7 Average price paid per share $ 80.02 $ 74.31 $ 78.63 $ 72.64 Total investment $ 341 $ 431 $ 618 $ 925 (a) Includes activity related to the ASR arrangement entered in first quarter 2019 because final settlement occurred in second quarter 2019. Under the ASR arrangement, we repurchased 4.2 million shares for a total cash investment of $340 million . We did not enter into any new ASR arrangements during second quarter 2019. (b) Activity related to the second quarter 2018 ASR arrangement described below is omitted because final settlement had not occurred as of August 4, 2018.

Pension Benefits (Tables)

Pension Benefits (Tables)	6 Months Ended
	Aug. 03, 2019
Retirement Benefits [Abstract]
Schedule of Pension Plan Benefits	Net Pension Benefits Expense Three Months Ended Six Months Ended (millions) Classification August 3, August 4, August 3, August 4, Service cost benefits earned SG&A Expenses $ 23 $ 25 $ 46 $ 49 Interest cost on projected benefit obligation Net Other (Income) / Expense 37 37 74 73 Expected return on assets Net Other (Income) / Expense (62 ) (62 ) (124 ) (123 ) Amortization of losses Net Other (Income) / Expense 16 20 31 41 Amortization of prior service cost Net Other (Income) / Expense (3 ) (3 ) (5 ) (6 ) Settlement charges Net Other (Income) / Expense — 3 — 3 Total $ 11 $ 20 $ 22 $ 37

Accumulated Other Comprehensi_2

Accumulated Other Comprehensive (Loss) / Income (Tables)	6 Months Ended
	Aug. 03, 2019
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract]
Summary of the Changes in Accumulated Other Comprehensive Income (AOCI) by Component	(millions) Cash Flow Hedges Currency Translation Adjustment Pension Total February 2, 2019 $ (13 ) $ (20 ) $ (772 ) $ (805 ) Other comprehensive income before reclassifications, net of tax — 3 — 3 Amounts reclassified from AOCI, net of tax — — 20 20 August 3, 2019 $ (13 ) $ (17 ) $ (752 ) $ (782 )

Revenues - Disaggregation of Re

Revenues - Disaggregation of Revenue (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Disaggregation of Revenue [Line Items]
Revenue	$ 18,422	$ 17,776	$ 36,049	$ 34,558
Apparel and accessories
Disaggregation of Revenue [Line Items]
Revenue	3,656	3,470	6,946	6,584
Apparel and accessories | Reclassified Revenue from Contract with Customer
Disaggregation of Revenue [Line Items]
Revenue	398	373	854	763
Beauty and household essentials
Disaggregation of Revenue [Line Items]
Revenue	5,076	4,784	10,047	9,401
Beauty and household essentials | Reclassified Revenue from Contract with Customer
Disaggregation of Revenue [Line Items]
Revenue	398	373	854	763
Food and beverage
Disaggregation of Revenue [Line Items]
Revenue	3,460	3,372	7,182	6,959
Hardlines
Disaggregation of Revenue [Line Items]
Revenue	2,503	2,501	4,889	4,814
Home furnishings and décor
Disaggregation of Revenue [Line Items]
Revenue	3,457	3,402	6,458	6,304
Other
Disaggregation of Revenue [Line Items]
Revenue	31	23	62	46
Sales
Disaggregation of Revenue [Line Items]
Revenue	18,183	17,552	35,584	34,108
Credit card profit sharing
Disaggregation of Revenue [Line Items]
Revenue	168	167	328	333
Other
Disaggregation of Revenue [Line Items]
Revenue	71	57	137	117
Other revenue
Disaggregation of Revenue [Line Items]
Revenue	$ 239	$ 224	$ 465	$ 450

Revenues - Narrative (Details)

Revenues - Narrative (Details) - USD ($) $ in Millions	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Revenue from Contract with Customer [Abstract]
Reserve	$ 131	$ 116	$ 114

Revenues - Gift Card Liability

Revenues - Gift Card Liability (Details) $ in Millions	6 Months Ended
	Aug. 03, 2019USD ($)
Change in Contract with Customer, Liability [Roll Forward]
Beginning balance	$ 840
Gift Cards Issued During Current Period But Not Redeemed	317
Revenue Recognized From Beginning Liability	(465)
Ending balance	$ 692

Fair Value Measurements - Sched

Fair Value Measurements - Schedule of Fair Value Measurements - Recurring Basis (Details) - USD ($) $ in Millions	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Assets
Prepaid forward contracts classified as Other Current Assets	$ 1,341	$ 1,466	$ 1,211
Interest rate swaps classified as Other Noncurrent Assets	1,373	1,273	1,345
Liabilities
Interest rate swaps classified as Other Noncurrent Liabilities	1,808	1,780	1,827
Fair value measured on recurring basis | Level 1 | Prepaid forward contracts
Assets
Prepaid forward contracts classified as Other Current Assets	20	19	22
Fair value measured on recurring basis | Level 1 | Short-term investments
Assets
Short-term investments classified as Cash and Cash Equivalents	796	769	353
Fair value measured on recurring basis | Level 2 | Interest rate swaps
Assets
Interest rate swaps classified as Other Noncurrent Assets	108	10	0
Liabilities
Interest rate swaps classified as Other Current Liabilities	0	3	7
Interest rate swaps classified as Other Noncurrent Liabilities	$ 0	$ 0	$ 2

Fair Value Measurements - Sch_2

Fair Value Measurements - Schedule of Significant Financial Instruments not Measured at Fair Value (Details) - USD ($) $ in Millions	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Carrying Amount
Financial Instruments, Balance Sheet Groupings
Long-term debt, including current portion	$ 10,244	$ 10,247	$ 10,243
Fair Value
Financial Instruments, Balance Sheet Groupings
Long-term debt, including current portion	$ 11,635	$ 10,808	$ 10,682

Property and Equipment (Details

Property and Equipment (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Property, Plant and Equipment [Abstract]
Impairments	$ 10	$ 78	$ 13	$ 85

Commercial Paper and Long-Ter_2

Commercial Paper and Long-Term Debt (Details) - USD ($)	1 Months Ended	6 Months Ended
	Mar. 31, 2019	Aug. 03, 2019	Aug. 04, 2018	Jun. 30, 2019
Commercial Paper
Debt Instrument [Line Items]
Maximum amount outstanding during period		$ 744,000,000	$ 658,000,000
Average daily amount outstanding		$ 74,000,000	$ 63,000,000
Weighted average interest rate		2.40%	1.80%
Amount outstanding		$ 0	$ 0
Unsecured Fixed Rate 3.375 Percent Debt, Maturing 2029 | Unsecured Debt
Debt Instrument [Line Items]
Face amount	$ 1,000,000,000
Term of debt	10 years
Interest rate	3.375%
Unsecured Fixed Rate 2.3 Percent Debt, Maturing June 2019 | Unsecured Debt
Debt Instrument [Line Items]
Face amount				$ 1,000,000,000
Interest rate				2.30%

Derivative Financial Instrume_3

Derivative Financial Instruments - Narrative (Details) - USD ($) $ in Millions	Aug. 03, 2019	Jun. 30, 2019	Mar. 31, 2019	Aug. 04, 2018
Designated as Hedging Instrument | Interest Rate Swaps
Derivative Contracts - Effect on Results of Operations (millions)
Notional amount	$ 1,500	$ 1,000	$ 1,000	$ 1,250

Derivative Financial Instrume_4

Derivative Financial Instruments - Effect of Hedges on Debt (Details) - USD ($) $ in Millions	Aug. 03, 2019	Feb. 02, 2019	Aug. 04, 2018
Current portion of long-term debt and other borrowings
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Carrying amount of hedged debt	$ 0	$ 996	$ 992
Cumulative hedging adjustments, included in carrying amount	0	(3)	(7)
Long-term debt and other borrowings
Derivative Instruments and Hedging Activities Disclosures [Line Items]
Carrying amount of hedged debt	1,600	508	247
Cumulative hedging adjustments, included in carrying amount	$ 108	$ 10	$ (2)

Derivative Financial Instrume_5

Derivative Financial Instruments - Effect of Hedges on Net Interest Expense (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Interest rate swap designated as fair value hedges	$ 86	$ 1	$ 101	$ (3)
Hedged debt	(86)	(1)	(101)	3
Total	$ 0	$ 0	$ 0	$ 0

Share Repurchase - Schedule of

Share Repurchase - Schedule of Share Repurchases (excluding ASR) (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Equity [Abstract]
Total number of shares purchased	4.3	5.8	7.9	12.7
Average price paid per share (in dollars per share)	$ 80.02	$ 74.31	$ 78.63	$ 72.64
Total investment	$ 341	$ 431	$ 618	$ 925

Share Repurchase - Narrative (D

Share Repurchase - Narrative (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions	3 Months Ended						6 Months Ended
	Aug. 03, 2019	May 04, 2019	Feb. 02, 2019	Nov. 03, 2018	Aug. 04, 2018	May 05, 2018	Aug. 03, 2019	Nov. 03, 2018	Aug. 04, 2018
Equity, Class of Treasury Stock [Line Items]
Stock repurchased (in shares)	4.3				5.8		7.9		12.7
Stock repurchased and retired	$ (59)	$ 277	$ 167	$ 2	$ 7	$ 494
Share Repurchase Program 2017
Equity, Class of Treasury Stock [Line Items]
Stock repurchased (in shares)							4.2	4.8
Prepaid repurchase amount							$ 340	$ 400
Price paid per share (in dollars per share)								$ 83.88
Authorized shares for accelerated stock repurchase, low end					400				$ 400
Authorized shares for accelerated stock repurchase, high end					525				525
Settlement of purchase agreement				$ 125	$ 525			$ 125	525
Repurchased and retired stock (in shares)				0.2	4.6
Stock repurchased and retired					$ 355
Shares receivable					$ 170				$ 170

Pension Benefits - Schedule of

Pension Benefits - Schedule of Pension Plan Benefits (Details) - Pension Plan - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Aug. 03, 2019	Aug. 04, 2018	Aug. 03, 2019	Aug. 04, 2018
Net Pension Benefits Expense
Service cost benefits earned	$ 23	$ 25	$ 46	$ 49
Interest cost on projected benefit obligation	37	37	74	73
Expected return on assets	(62)	(62)	(124)	(123)
Amortization of losses	16	20	31	41
Amortization of prior service cost	(3)	(3)	(5)	(6)
Settlement charges	0	3	0	3
Total	$ 11	$ 20	$ 22	$ 37

Accumulated Other Comprehensi_3

Accumulated Other Comprehensive (Loss) / Income (Details) $ in Millions	6 Months Ended
	Aug. 03, 2019USD ($)
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	$ 11,297
Ending balance	11,836
Cash Flow Hedges
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(13)
Other comprehensive income before reclassifications, net of tax	0
Amounts reclassified from AOCI, net of tax	0
Ending balance	(13)
Currency Translation Adjustment
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(20)
Other comprehensive income before reclassifications, net of tax	3
Amounts reclassified from AOCI, net of tax	0
Ending balance	(17)
Pension
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(772)
Other comprehensive income before reclassifications, net of tax	0
Amounts reclassified from AOCI, net of tax	20
Ending balance	(752)
Total
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Beginning balance	(805)
Other comprehensive income before reclassifications, net of tax	3
Amounts reclassified from AOCI, net of tax	20
Ending balance	$ (782)