It feels like joe from my perspective And others too looking in they're Struggling to find the right balance These companies have gone from being Understaffed to overstaffed under Supplied to oversupplied and joe all of A sudden there's all this inventory and They don't know what to do with it joe How do you find the right balance in an Economy moving this fast Yeah i i and i think that's really the Challenge and something actually doug Mcmillan talked about yesterday was the Speed of all of this that it's really Hard to adjust the business that quickly To play some ketchup Obviously the consumer is moving and Changing quite rapidly and i think You're right i think that you know the The retailers we saw this with amazon Too where they kind of were building out To the capacity that they needed at the Time During the height of the pandemic and Now you're seeing some of the give back What's really interesting here is if you Go back in history tar uh target's gross Margin has pretty Been very stable at right around 28 Percent Obviously this quarter it really dropped A lot to 25 and a half percent And their guidance for the year would Imply that it's going to be certainly
Well below the 28 Maybe more like 25 26. I think that's transitory and i know the Stock's down a lot right now and But if you kind of really look closely At that line item and look at the way They're operating the rest of the Business there's a lot of pressures Right now on the supply chain on fuel Costs yeah on everything that's just Hurting the business right now
