While J.C. Penney’s recent turmoil — a credit rating downgrade and a 20 percent drop in revenue in the first quarter — has boosted Target’s market share slightly, McKeever said there is not a great deal of merchandise overlap between the two companies in the apparel area.

“I think the bigger benefit to what’s going on with Penney’s right now is flowing to Macy’s, maybe even a little bit to Sears, and I think there will be more that goes to Kohl’s as we move into the back half of the year,” he said.

Target was not the only lower-priced retailer to hit a new 52-week high on Friday. Although Wal-Mart Stores jumped to new levels today, McKeever was not as bullish on the stock.

“I’m not recommending Wal-Mart,” he said. “I know the stock’s done very well. My preference continues to be Target in mass merchandise retailers.”

—By CNBC.com’s Katie Little

Additional News: Wal-Mart Stores Turns 50 Years Old

Additional Views: Traders Discuss Wal-Mart and Target

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