Sarah Henry sees Target (TGT) in "the early days of its evolution" after the big box retailer posted a strong earnings beat. She explains how the company is capitalizing on inventory needs and digital growth through AI. Looking ahead to Walmart (WMT) earnings, Sarah says investors will be "laser-focused" on finding any weakness in the retail giant's high margin revenue stream. She also discusses reports from TJX Companies (TJX) and Ross Stores (ROST).