Target’s Q1 Sales Plummet: DEI Reversal Blamed for 2025 Losses
Target reported disappointing first-quarter sales, falling short of Wall Street expectations and prompting a lowered sales projection for 2025. This decline is attributed to decreased consumer spending due to economic concerns and tariffs, compounded by negative impacts from boycotts following the company’s scaling back of diversity, equity, and inclusion initiatives. The retailer is implementing cost-cutting measures, including a restructuring of its leadership and a focus on lower-priced items, to regain market share and boost sales. Despite efforts to mitigate tariff impacts through sourcing shifts, Target’s reliance on discretionary items makes it more vulnerable than competitors like Walmart.
John Q. Hosedrinker