The impulsive reaction to Target's long-overdue CEO change is — what took so long?
U.S. equities were mostly in the red at midday, dragged for a second session by tech stocks, as well as a mixed bag of earnings news. The Nasdaq dropped 1%, the S&P 500 was down as well, while the Dow Jones Industrial Average was little changed.
Target Corporation's share price decline is driven more by political backlash than by poor fundamentals or business performance. New CEO Michael Fiddelke has an opportunity to reset relationships and potentially reverse the negative sentiment impacting the stock. Target's valuation is historically low, with fundamentals that suggest TGT stock is undervalued if leadership can re-engage lost customers.
Target (TGT) posted mixed Q2 results as it announced a CEO change; TJX, LOW and EL all beat on earnings.
American Express Company AXP has rewarded investors handsomely, gaining 24.3% over the past year, outpacing the S&P 500's 15.6% climb and the broader industry's 14.5% rise. Still, its larger peers did even better — Visa Inc. V jumped 27.7% and Mastercard Incorporated MA rose 25.1%.
Target said Wednesday that COO Michael Fiddelke will take over as CEO of the retailer in February. Fiddelke spent the past quarter leading a new acceleration effort to return the company to growth.
While the top- and bottom-line numbers for Target (TGT) give a sense of how the business performed in the quarter ended July 2025, it could be worth looking at how some of its key metrics compare to Wall Street estimates and year-ago values.
ByDoug Melville,
Key Takeaways
It's another mixed picture for the retail space. Jenny Horne talks about Target's (TGT) earnings beat as a win for the beaten-down company, though investors appear to be selling off the stock over its change of CEO.
Target (TGT) shares sank 11% in premarket trading Wednesday as the struggling retailer replaced its CEO with a company veteran even as its business showed signs of improvement in the second quarter.
Michael Lasser, UBS equity research analyst, joins 'Squawk Box' to break down Target's quarterly earnings results.