UPDATE 1-Target July same-store sales down, sees August decline

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NEW YORK, Aug 7 (Reuters) - Discount retailer Target Corp (TGT.N) said on Thursday sales at stores open at least a year fell a more-than-expected 1.2 percent in July and it forecast another decline for August.

The retailer said on a recorded call that it rang up fewer transactions during the month, although customers spent more during their visits.

Analysts, on average, were expecting the company's same-store sales to fall 0.3 percent, according to Thomson Reuters data, while the company had forecast same-store sales to be down 1 percent to up 1 percent.

Sales for the four weeks ended Aug. 2 rose to $4.57 billion from $4.36 billion a year ago.

Target said that in the month, sales were strong in electronics like video games and TVs, health-care items and food.

But sales of home merchandise declined, it said, with weaker-than-average sales in all areas.

For August, Target forecast same-store sales to decline in the range of 3 percent to 1 percent. A year ago, its August same-store sales rose 6.1 percent. (Reporting by Nicole Maestri, editing by Dave Zimmerman)