Target's turnaround delivered in Q2, with net sales up 5.3% and comparable sales up 3.8% on the strength of a 3.6% increase in store traffic. The retailer's message to shareholders was direct: customers are responding to value. In 2026, Target cut prices on more than 10,000 items, and 95% of its school supplies now cost less than last year.

"We're proud of that price investment," CEO Michael Fiddelke said during the earnings call. "We think it matters to consumers right now."

A one-time tariff refund from the federal government added a $994 million pretax benefit to Target's P&L.

Walmart, meanwhile, posted a 5.5% revenue increase and 23% e-commerce growth, but CFO John Rainey told shareholders the company sees "incremental pressure on the consumer relative to the beginning of the year with higher fuel prices." Walmart still raised its full-year outlook, which Rainey said reflects the "continued prioritization of the remaining tariff refunds in the customer experience and price investments in the second half." Those price investments include 11,000 rollbacks in Q2, up from 7,200 in Q1.

"We're investing heavily in price because customers need us to and because we believe it drives market share gains over time," CEO John Furner said.

Speed became a strategic priority for Walmart in the quarter. Deliveries completed in under 30 minutes grew 48%. "Speed matters," Furner said. The company now treats faster deliveries as an "acquisition strategy," he explained, as customers shop more frequently and buy in new categories such as meal solutions.

BJ's Wholesale reported comparable sales up 11.9% year over year and membership fee income up 9.9%. It then announced plans to shrink its assortment. CEO Robert Eddy told shareholders that past SKU-reduction attempts were executed poorly, leaving stores "over SKUed." BJ's will cut 20% of items over the next couple of years, reducing the average SKU count per store from 7,500 to about 6,000.

"What we're doing now is removing unnecessary choice," Eddy said.

Dick's Sporting Goods posted 4.9% comparable sales growth but lowered its full-year outlook for Foot Locker, the business it bought almost a year ago, to between -2% and 0% amid global headwinds in footwear. Executive Chair Edward Stack said EMEA proved more challenging than expected due to aggressive promotional activity, excess inventory, and a cautious consumer weighing on Dick's overall.

Best Buy closed out the two-week earnings stretch from a position of strength. Comparable sales rose 4.1%, and the company raised its full-year outlook on steady demand across categories. In her final earnings call before stepping down in October, CEO Corie Barry said customers still hunt for value but will pay up when innovation justifies it.

"Importantly, while customers continue to be thoughtful about big ticket purchases, they are willing to spend on high price point products when they need to or when there is technology innovation," she said.

Across the sector, the Q2 results point to one common denominator: retailers that put tariff refunds and margin into price cuts saw traffic follow, and the second half will test whether that investment keeps paying off.

Source: Retail Brew