TARGET: Investor Profile Paper

Essay by patricci10College, UndergraduateA-, June 2008

download word file, 3 pages 1.0

"Target Corporation, a large cap value company in the consumer services center is expected to outperform the market over the next six months with less than average risk."(MSN Money, 2008) This paper will examine that lenders Target uses, the investment bank Target uses to issue stock, the Government entities that regulate the securities that Target issues, and will identify and discuss the role played by the intermediaries of Target. In addition, this paper will discuss the role the entities play for the investors in Target Corporation.

Target is a major retail corporation that has used its assets to secure any debt used for every day business. In August 19, 2003, Target filed an 8-K (7) filing with the SEC. This 8-K filing by Target proposed that they will be issuing or selling its Medium-Term Notes, "Series J (the Securities)," (SEC info, 2008) from time to time. Seven major lenders were listed for the proposed distribution and two of them were Merrill Lynch, Pierce, Fenner and Smith Incorporated and Banc of America Securities LLC. The proposed agreement gave Target the right to sell Securities directly to the listed lenders or indirectly through other agents. The latest distribution by Target was from its credit card receivables to JPMorgan Chase and Co. for 3.6 billion. Target was reluctant to make the move but bowed to pressure from investors and was able to retain control of its credit card business which has been a major profit contributor in recent years.

The New York Stock Exchange is the primary market for the Target Corporation common stock. On March 20, 2006 Target reported that they had 18, 166 stockholders. Interested investors can make their first purchase directly through Mellon Investor Services. Mellon Investor Services is the transfer agent for Target and the...