Shares of retail giant Target (TGT) have been caught in a prolonged slump in 2025, dragged down by disappointing earnings, lowered forecasts, and signs of waning consumer confidence. In response, the company has outlined an aggressive turnaround strategy focused on boosting speed, innovation, and organizational agility.
On June 22, financial data platform Barchart reported that Target was on pace to post its third consecutive quarterly decline, a streak not seen in over a decade.
That trend was later confirmed by InvestorsObserver using Yahoo Finance data, which showed TGT shares had indeed logged a third straight quarterly drop as of June 30.
Although Target shares have rebounded to just above $100, they remain down 24% year-to-date and 31% over the past 12 months.
The stock has recovered roughly 17% from its April low, which was triggered by a broad market sell-off following President Trump’s “Liberation Day” tariff announcement.
However, the challenges for Target shareholders go deeper than recent market turbulence.
Since reaching an all-time high during the Covid-era stimulus boom, the stock has lost more than half its value.
Looking ahead, the path to recovery remains steep, particularly in the face of ongoing public backlash and boycotts that continue to weigh on the brand.
Target’s turnaround plan
Target’s first-quarter 2025 results fell well short of expectations, with management citing the impact of new tariffs and public backlash related to its rollback of DEI (Diversity, Equity, and Inclusion) initiatives.
The company reported adjusted earnings of $1.30 per share on revenue of $23.85 billion, missing analyst estimates of $1.61 per share and $24.27 billion in revenue.
Revenue declined year-over-year, down from $24.53 billion in the same quarter of 2024. Critically, comparable sales were down 3.8% year-over-year, while comparable store sales declined by 5.7%.
As part of its turnaround strategy, Target announced the departures of chief legal and compliance officer Amy Tue and chief strategy and growth officer Christina Hennington.
Hennington’s exit was particularly notable as she was widely seen as a leading internal candidate to succeed the current CEO.
To reset its trajectory, Target also launched a “multi-year enterprise acceleration office,” an internal initiative to improve collaboration and decision-making. The overarching goal is to strengthen long-term profitability and operational efficiency.
Target’s chief operating officer, Michael Fiddelke, said the initiative is a commitment ot “operating more nimbly across the organization, creating conditions for speed, adaptability, innovation, and resilience.”
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