Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin4.9%
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin3.5%
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Financial Health
F
Years to Pay Off Debt5.5 yrs
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt-$15.6B
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital-$1.2B
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Valuation
N/A
Cash Flow
C
Free Cash Flow$2.8B
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income100.6%
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings$10.6B
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Metric Explanations
What each dimension measures and where the thresholds come from.
Gross Profit Margin
Revenue minus cost of goods sold. Graham's ≥40% threshold identifies businesses with durable pricing power. Note: software and financial companies naturally exceed this; retailers and manufacturers rarely reach it due to their cost structures.
Operating Margin
Profit after operating costs before interest and taxes. A consistent ≥15% operating margin signals a business with real competitive advantages. Capital-intensive industries (airlines, auto, commodities) rarely hit this threshold due to their structural cost base — compare within industry for context.
Net Income Margin
Bottom-line profit as a percentage of revenue. The ≥20% target reflects Buffett's preference for highly profitable businesses. Financial engineering (buybacks, tax optimisation) can inflate this temporarily — look for consistency across multiple years rather than a single strong result.
Years to Pay Off Debt
Total Debt ÷ Net Income. Lower = stronger balance sheet. Important caveat: utilities, telecoms, REITs, and infrastructure companies carry large structural debt by design — their bond-like cash flows service it comfortably at ratios that would alarm Graham. Compare within sector.
Working Capital vs Long-Term Debt
Working Capital minus Long-Term Debt. Negative results are common and expected in capital-return-focused businesses like Apple, Domino's, and McDonald's — where aggressive buybacks and dividends intentionally reduce book equity. This does not indicate financial distress in high-FCF businesses.
Working Capital
Current Assets minus Current Liabilities. Negative working capital can be a deliberate efficiency strategy in businesses that collect cash before paying suppliers (retailers, fast food franchises, subscription businesses). Assess alongside free cash flow generation for full context.
Free Cash Flow
Operating cash flow minus capital expenditures. Buffett's most important metric — cash a business actually generates for its owners after maintaining and growing its asset base. Consistently positive FCF is one of the strongest indicators of a durable, well-run business regardless of accounting profits.
CapEx % of Net Income
Capital expenditure as a share of net income. Low CapEx signals a capital-light business that doesn't need heavy reinvestment to sustain earnings — Buffett's ideal. High CapEx is structurally necessary in manufacturing, airlines, telecoms, and semiconductors. For these industries, a high reading reflects the business model, not poor management.
Owner Earnings
Net Income + Depreciation & Amortisation − Capital Expenditures. Buffett's preferred measure of a company's true annual earning power — what could theoretically be distributed to owners without impairing the business. More reliable than reported EPS because it accounts for the capital cost of maintaining the business.
Market Data
Key Margins
Gross Profit27.9%
Operating Margin4.9%
Net Margin3.5%
Company Info
Showing Key Metrics
Income Highlights
Metric
2026
2025
2024
2023
2022
Gross Profit %
27.9%▼
28.2%▲
27.5%▲
24.6%•
N/A
Operating Margin %
4.9%▼
5.2%▼
5.3%▲
3.5%•
N/A
Net Income %
3.5%▼
3.8%▼
3.9%▲
2.5%•
N/A
Diluted EPS
8.13▼
8.86▼
8.94▲
5.98•
N/A
Balance Sheet Highlights
Metric
2026
2025
2024
2023
2022
Total Assets
$59.5B
$57.8B
$55.4B
$53.3B
N/A
Total Debt
$20.3B▲
$19.9B▲
$19.6B▲
$19.1B•
N/A
Working Capital
-$1.2B▲
-$1.3B▲
-$1.8B▼
-$1.7B•
N/A
Years to Pay Debt
5.48
4.86
4.75
6.86
N/A
Cash Flow Highlights
Metric
2026
2025
2024
2023
2022
Free Cash Flow
$2.8B▼
$4.5B▲
$3.8B▲
-$1.5B•
N/A
Owner Earnings
$10.6B
$10.0B
$11.7B
$11.0B
N/A
CapEx % of Net Income
100.6%
70.7%
116.1%
198.8%
N/A
Income Statement
2026
2025
2024
2023
2022
Tax Rate For Calcs
0
0
0
0
Normalized EBITDA
8,346,000
8,653,000
8,600,000
6,596,000
Net Income From Continuing Operation Net Minority Interest
3,705,000
4,091,000
4,138,000
2,780,000
Reconciled Depreciation
3,134,000
2,981,000
2,801,000
2,700,000
Reconciled Cost Of Revenue
74,994,000
76,050,000
77,442,000
81,991,000
EBITDA
8,346,000
8,653,000
8,600,000
6,596,000
EBIT
5,212,000
5,672,000
5,799,000
3,896,000
Net Interest Income
-445,000
-411,000
-502,000
-478,000
Interest Expense
445,000
411,000
502,000
478,000
Normalized Income
3,705,000
4,091,000
4,138,000
2,780,000
Net Income From Continuing And Discontinued Operation
3,705,000
4,091,000
4,138,000
2,780,000
Total Expenses
99,663,000
101,000,000
101,705,000
105,272,000
Total Operating Income As Reported
5,117,000
5,566,000
5,707,000
3,848,000
Diluted Average Shares
455,600
461,800
462,800
464,700
Basic Average Shares
454,100
460,400
461,500
462,100
Diluted EPS
0
0
0
0
Basic EPS
0
0
0
0
Diluted NI Availto Com Stockholders
3,705,000
4,091,000
4,138,000
2,780,000
Net Income Common Stockholders
3,705,000
4,091,000
4,138,000
2,780,000
Net Income
3,705,000
4,091,000
4,138,000
2,780,000
Net Income Including Noncontrolling Interests
3,705,000
4,091,000
4,138,000
2,780,000
Net Income Continuous Operations
3,705,000
4,091,000
4,138,000
2,780,000
Tax Provision
1,062,000
1,170,000
1,159,000
638,000
Pretax Income
4,767,000
5,261,000
5,297,000
3,418,000
Other Income Expense
95,000
106,000
92,000
48,000
Other Non Operating Income Expenses
95,000
106,000
92,000
48,000
Net Non Operating Interest Income Expense
-445,000
-411,000
-502,000
-478,000
Interest Expense Non Operating
445,000
411,000
502,000
478,000
Operating Income
5,117,000
5,566,000
5,707,000
3,848,000
Operating Expense
24,152,000
24,498,000
23,877,000
22,966,000
Depreciation Amortization Depletion Income Statement
2,617,000
2,529,000
2,415,000
2,385,000
Depreciation And Amortization In Income Statement
2,617,000
2,529,000
2,415,000
2,385,000
Selling General And Administration
21,535,000
21,969,000
21,462,000
20,581,000
Gross Profit
29,269,000
30,064,000
29,584,000
26,814,000
Cost Of Revenue
75,511,000
76,502,000
77,828,000
82,306,000
Total Revenue
104,780,000
106,566,000
107,412,000
109,120,000
Operating Revenue
104,780,000
106,566,000
107,412,000
109,120,000
Balance Sheet
2026
2025
2024
2023
2022
Ordinary Shares Number
452,840
455,567
461,675
460,347
Share Issued
452,840
455,567
461,675
460,347
Net Debt
10,968,000
11,178,000
12,233,000
13,910,000
Total Debt
20,290,000
19,875,000
19,646,000
19,073,000
Tangible Book Value
15,534,000
14,035,000
12,801,000
10,587,000
Invested Capital
32,621,000
30,606,000
29,470,000
27,371,000
Working Capital
-1,225,000
-1,345,000
-1,806,000
-1,654,000
Net Tangible Assets
15,534,000
14,035,000
12,801,000
10,587,000
Capital Lease Obligations
3,834,000
3,935,000
3,608,000
2,934,000
Common Stock Equity
16,165,000
14,666,000
13,432,000
11,232,000
Total Capitalization
30,491,000
28,970,000
28,354,000
27,241,000
Total Equity Gross Minority Interest
16,165,000
14,666,000
13,432,000
11,232,000
Stockholders Equity
16,165,000
14,666,000
13,432,000
11,232,000
Gains Losses Not Affecting Retained Earnings
-417,000
-458,000
-460,000
-419,000
Other Equity Adjustments
-417,000
-458,000
-460,000
-419,000
Retained Earnings
9,297,000
8,090,000
7,093,000
5,005,000
Additional Paid In Capital
7,247,000
6,996,000
6,761,000
6,608,000
Capital Stock
38,000
38,000
38,000
38,000
Common Stock
38,000
38,000
38,000
38,000
Total Liabilities Net Minority Interest
43,325,000
43,103,000
41,924,000
42,103,000
Total Non Current Liabilities Net Minority Interest
22,095,000
22,304,000
22,620,000
22,603,000
Other Non Current Liabilities
123,000
200,000
181,000
169,000
Derivative Product Liabilities
77,000
Employee Benefits
571,000
561,000
491,000
424,000
Non Current Pension And Other Postretirement Benefit Plans
31,000
33,000
37,000
45,000
Tradeand Other Payables Non Current
340,000
338,000
272,000
168,000
Non Current Deferred Liabilities
3,273,000
3,319,000
3,475,000
3,195,000
Non Current Deferred Revenue
358,000
388,000
419,000
449,000
Non Current Deferred Taxes Liabilities
2,265,000
2,303,000
2,480,000
2,196,000
Long Term Debt And Capital Lease Obligation
17,788,000
17,886,000
18,201,000
18,647,000
Long Term Capital Lease Obligation
3,462,000
3,582,000
3,279,000
2,638,000
Long Term Debt
14,326,000
14,304,000
14,922,000
16,009,000
Current Liabilities
21,230,000
20,799,000
19,304,000
19,500,000
Other Current Liabilities
1,236,000
1,062,000
1,302,000
1,492,000
Current Deferred Liabilities
1,197,000
1,209,000
1,162,000
1,240,000
Current Deferred Revenue
1,197,000
1,209,000
1,162,000
1,240,000
Current Debt And Capital Lease Obligation
2,502,000
1,989,000
1,445,000
426,000
Current Capital Lease Obligation
372,000
353,000
329,000
296,000
Current Debt
2,130,000
1,636,000
1,116,000
130,000
Other Current Borrowings
2,130,000
1,636,000
1,116,000
130,000
Pensionand Other Post Retirement Benefit Plans Current
310,000
211,000
192,000
173,000
Payables And Accrued Expenses
15,985,000
16,328,000
15,203,000
16,169,000
Current Accrued Expenses
1,703,000
1,723,000
1,657,000
1,413,000
Interest Payable
138,000
126,000
122,000
94,000
Payables
14,282,000
14,605,000
13,546,000
14,756,000
Dividends Payable
516,000
510,000
508,000
497,000
Total Tax Payable
1,144,000
1,042,000
940,000
772,000
Income Tax Payable
440,000
334,000
113,000
Accounts Payable
12,622,000
13,053,000
12,098,000
13,487,000
Total Assets
59,490,000
57,769,000
55,356,000
53,335,000
Total Non Current Assets
39,485,000
38,315,000
37,858,000
35,489,000
Other Non Current Assets
571,000
238,000
229,000
160,000
Defined Pension Benefit
831,000
661,000
540,000
515,000
Investments And Advances
440,000
470,000
Goodwill And Other Intangible Assets
631,000
631,000
631,000
645,000
Other Intangible Assets
25,000
Goodwill
631,000
631,000
631,000
631,000
Net PPE
37,452,000
36,785,000
36,458,000
34,169,000
Accumulated Depreciation
-28,390,000
-26,277,000
-24,413,000
-22,631,000
Gross PPE
65,842,000
63,062,000
60,871,000
56,800,000
Construction In Progress
1,303,000
1,185,000
1,703,000
2,688,000
Other Properties
3,703,000
3,763,000
3,362,000
2,657,000
Machinery Furniture Equipment
13,395,000
12,627,000
12,193,000
10,478,000
Buildings And Improvements
40,418,000
38,752,000
37,066,000
34,746,000
Land And Improvements
7,023,000
6,735,000
6,547,000
6,231,000
Current Assets
20,005,000
19,454,000
17,498,000
17,846,000
Other Current Assets
183,000
185,000
202,000
235,000
Prepaid Assets
223,000
226,000
201,000
188,000
Inventory
12,304,000
12,740,000
11,886,000
13,499,000
Inventories Adjustments Allowances
-201,000
-183,000
-153,000
Other Inventories
12,505,000
12,923,000
12,039,000
Receivables
1,807,000
1,541,000
1,404,000
1,695,000
Other Receivables
542,000
543,000
513,000
526,000
Accounts Receivable
1,265,000
998,000
891,000
1,169,000
Cash Cash Equivalents And Short Term Investments
5,488,000
4,762,000
3,805,000
2,229,000
Other Short Term Investments
1,343,000
4,985,000
Cash And Cash Equivalents
5,488,000
4,762,000
3,805,000
2,229,000
Cash Equivalents
5,238,000
4,486,000
3,517,000
1,943,000
Cash Financial
250,000
276,000
288,000
286,000
Cash Flow
2026
2025
2024
2023
2022
Free Cash Flow
2,835,000
4,476,000
3,815,000
-1,510,000
Repurchase Of Capital Stock
-408,000
-1,007,000
0
-2,646,000
Repayment Of Debt
-1,643,000
-1,139,000
-147,000
-163,000
Issuance Of Debt
1,984,000
741,000
0
2,625,000
Capital Expenditure
-3,727,000
-2,891,000
-4,806,000
-5,528,000
Interest Paid Supplemental Data
629,000
615,000
605,000
449,000
Income Tax Paid Supplemental Data
1,091,000
1,055,000
374,000
213,000
End Cash Position
5,488,000
4,762,000
3,805,000
2,229,000
Beginning Cash Position
4,762,000
3,805,000
2,229,000
5,911,000
Changes In Cash
726,000
957,000
1,576,000
-3,682,000
Financing Cash Flow
-2,187,000
-3,550,000
-2,285,000
-2,196,000
Cash Flow From Continuing Financing Activities
-2,187,000
-3,550,000
-2,285,000
-2,196,000
Net Other Financing Charges
-67,000
-99,000
-127,000
-180,000
Proceeds From Stock Option Exercised
0
0
4,000
8,000
Cash Dividends Paid
-2,053,000
-2,046,000
-2,011,000
-1,836,000
Common Stock Dividend Paid
-2,053,000
-2,046,000
-2,011,000
-1,836,000
Net Common Stock Issuance
-408,000
-1,007,000
0
-2,646,000
Common Stock Payments
-408,000
-1,007,000
0
-2,646,000
Net Issuance Payments Of Debt
341,000
-398,000
-147,000
2,462,000
Net Long Term Debt Issuance
341,000
-398,000
-147,000
2,462,000
Long Term Debt Payments
-1,643,000
-1,139,000
-147,000
-163,000
Long Term Debt Issuance
1,984,000
741,000
0
2,625,000
Investing Cash Flow
-3,649,000
-2,860,000
-4,760,000
-5,504,000
Cash Flow From Continuing Investing Activities
-3,649,000
-2,860,000
-4,760,000
-5,504,000
Net Other Investing Changes
78,000
31,000
46,000
Net Investment Purchase And Sale
28,000
22,000
16,000
7,000
Net Business Purchase And Sale
0
0
356,000
Sale Of Business
0
0
356,000
Net PPE Purchase And Sale
3,000
24,000
8,000
27,000
Sale Of PPE
3,000
24,000
8,000
27,000
Capital Expenditure Reported
-3,727,000
-2,891,000
-4,806,000
-5,528,000
Operating Cash Flow
6,562,000
7,367,000
8,621,000
4,018,000
Cash Flow From Continuing Operating Activities
6,562,000
7,367,000
8,621,000
4,018,000
Change In Working Capital
-403,000
145,000
1,039,000
-2,436,000
Change In Other Current Assets
-494,000
-308,000
-85,000
22,000
Change In Payables And Accrued Expense
-345,000
1,307,000
-489,000
-2,861,000
Change In Accrued Expense
156,000
299,000
727,000
-624,000
Change In Payable
-501,000
1,008,000
-1,216,000
-2,237,000
Change In Account Payable
-501,000
1,008,000
-1,216,000
-2,237,000
Change In Inventory
436,000
-854,000
1,613,000
403,000
Other Non Cash Items
-100,000
26,000
94,000
172,000
Stock Based Compensation
281,000
304,000
251,000
220,000
Deferred Tax
-55,000
-180,000
298,000
582,000
Deferred Income Tax
-55,000
-180,000
298,000
582,000
Depreciation Amortization Depletion
3,134,000
2,981,000
2,801,000
2,700,000
Depreciation And Amortization
3,134,000
2,981,000
2,801,000
2,700,000
Operating Gains Losses
-335,000
Gain Loss On Sale Of Business
0
0
-335,000
Net Income From Continuing Operations
3,705,000
4,091,000
4,138,000
2,780,000
3/5
Graham Score
Speculative Investor
Fails most of Graham's safety criteria. Treat with caution.
Graham's Fair Value
N/A
N/A — requires
positive EPS and positive book value per share. Check the Financials tab for earnings history.
Margin of Safety
—
Market Cap / Net Assets
N/A
Net Assets: $16.2B
Warren's Owner Earnings
$10.6B
Latest fiscal year
Graham's 7 Criteria
Defensive Investor Checklist
3/5 — Speculative Investor
✅
Adequate Size
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
$104.8B
vs > $1.5B revenue
❌
Strong Financial Condition
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
0.94x
vs Current Ratio > 2.0x
✅
Earnings Stability
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
No loss years (4 yrs data)
vs No negative EPS years
❌
Dividend Record
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
No dividend
vs Uninterrupted dividends
✅
Earnings Growth
EPS grew from $5.98 to $8.13 over 3 years. Graham's 33% threshold was set over a 10-year period. Measured over fewer years (as here), the bar is proportionally lower. Share buybacks can also inflate EPS growth without reflecting underlying business improvement.
+36.0% EPS growth
vs > 33% EPS growth
Graham's 7 Criteria — Explained
What each criterion measures and why it matters.
✅ Adequate Size — $104.8Bvs > $1.5B revenue
Graham required companies large enough to withstand economic downturns. This threshold ($1.5B) is inflation-adjusted from Graham's original $100M — virtually all S&P 500 companies pass this today.
"The minimum size of an enterprise should be not less than $100 million of annual sales."
❌ Strong Financial Condition — 0.94xvs Current Ratio > 2.0x
Current assets must be at least twice current liabilities. Note: highly profitable companies (Apple, Domino's) often run negative or low working capital deliberately — they collect cash fast and stretch payables. A failing score here is not always a warning sign.
"For industrial companies, current assets should be at least twice current liabilities."
✅ Earnings Stability — No loss years (4 yrs data)vs No negative EPS years
Graham required uninterrupted positive earnings. Any loss year is a red flag for defensive investors. Growth companies and cyclicals may show occasional losses during investment cycles or downturns without being fundamentally unsound.
"The company should have shown no deficit in the past ten years."
❌ Dividend Record — No dividendvs Uninterrupted dividends
Graham valued dividends as evidence of financial discipline and shareholder alignment. Many excellent modern businesses (Alphabet, Amazon, Berkshire Hathaway) pay no dividend, preferring to reinvest cash at high rates of return. Failing this criterion does not indicate a poor business — it may indicate a high-growth one.
"Some current dividend payments — for at least the past 20 years."
EPS grew from $5.98 to $8.13 over 3 years. Graham's 33% threshold was set over a 10-year period. Measured over fewer years (as here), the bar is proportionally lower. Share buybacks can also inflate EPS growth without reflecting underlying business improvement.
"A minimum increase of at least one-third in per-share earnings over ten years."
These metrics estimate what TGT is worth based on fundamentals — independent of what the market prices it at.
Graham's Fair Value and NCAV are conservative floors.
EPV assumes zero growth. These are reference points, not price targets.
Net Current Asset Value
N/A
"Buy at two-thirds of net current assets." — Graham
Earnings Power Value
N/A
Per share, no-growth floor. Compare to current price.
ROIC — Return on Invested Capital
10.6%
Return on Invested Capital — Buffett's preferred measure for asset-light businesses. ROIC > 15% consistently signals a durable competitive advantage (moat). More meaningful than P/B for software, pharma, and consumer brand companies where most value is intangible and off-balance-sheet.
Cash Flow Analysis
Metric
2026
2025
2024
2023
2022
Capital Expenditure % of Net Income
100.6%
70.7%
116.1%
198.8%
N/A
Repurchase of Capital Stock
-$408M
-$1.0B
$0M
-$2.6B
N/A
Free Cash Flow
$2.8B▼
$4.5B▲
$3.8B▲
-$1.5B•
N/A•
Warren's Owner Earnings
$10.6B
$10.0B
$11.7B
$11.0B
N/A
Peers & Industry
No auto-detected peers for this industry. You can manually compare TGT against any stock using the Compare tool.
"The management of a business is its most important single factor — more important than market position, patents, or financial structure."
— Benjamin Graham
No management data available.
Risk Analysis
TGT (TGT) fundamental analysis — Overall grade D based on profitability, financial health, valuation and cash flow. Graham's
Fair Value: N/A. Gross profit margin: 27.9%. Operating margin: 4.9%. Net margin: 3.5%. Analysis powered by 360investing — free fundamental stock analysis based on Benjamin Graham and Warren Buffett
principles.
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and may be delayed, inaccurate, or incomplete. Past performance is not indicative of future results. Analysis, scores, and valuations are algorithmic and do not represent professional investment recommendations. Always conduct your own due
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