Summary
Target has appointed Michael Fiddelke as its new CEO starting February 1, 2026, aiming to address the retailer's ongoing struggles. Fiddelke, who has been with Target for 20 years, plans to focus on improving merchandise quality, shopper experience, and technology use. Target's stock fell following the announcement, and the company continues to face challenges like declining sales and competition from other retailers.
Key Facts
- Michael Fiddelke, a Target veteran, will become CEO on February 1, 2026.
- Current CEO Brian Cornell will become executive chairman.
- Target's stock dropped 10% in premarket trading after the announcement.
- Target has faced issues with inventory management and retail crime.
- Target's sales have declined as customers turn to competitors like Walmart and TJ Maxx.
- Over the last five years, Target's stock fell 23%, while Walmart's rose 125%.
- Second-quarter store sales decreased by 1.9%, with operating income margin falling to 5.2%.
- The company is maintaining its annual forecasts despite past earnings challenges.
