Added edit and picture to reproduce, terracotta blocks point to the chunk borders
This is due to a chunk border bug where if you unload chunks containing entities in between chunks they get deleted
Unfortunatly since bedrock has a p/c tick system, there are no producers that are solid. I think this is to do with somewhere in the code. I highly doubt targets will be solid in bedrock in the future because if the devs could do it, they would code it in.
Targets not redirecting redstone and being a conductible block isn't the end of the world, soft inversion is almost just as good.
There are several workarounds to not having your redstone dust not redirect onto a block, and honestly, most contraptions don't need it. A redstone contraption will be able to survive without this mechanic just fine; it's not as game-breaking as something like chunk borders breaking redstone contraptions completely. If you want to port over a java redstone contraption, it is best to re-create it in bedrock but with entirely new wiring. I'm not saying that this is fair, but this is how it is and will always be.
Plus I would argue that target blocks are one of the most useful block in the game, in a redstone perspective as a compactor for piston doors etc.