TGT stock price: Why are Target shares dropping today—and who is Michael Fiddelke?

Shares in Target Corporation (NYSE: TGT) are sinking this morning after the company made a few significant announcements. First, the retailer released its Q2 2025 results, which revealed it is still facing substantial sales headwinds. Next, the company said it will soon have a new CEO—its first chief executive change in over a decade.

And Wall Street isn’t reacting favorably to either bit of news, based on how TGT shares are reacting in pre-market trading as of the time of this writing. The stock price is currently down nearly 10% to just above $95 per share. Here’s what you need to know.

Target’s disappointing Q2 2025

Today, Target announced its second quarter 2025 results before markets opened. Those results came in slightly ahead of the already low investor expectations, but they were also still down from the same period a year earlier.

For its Q2 2025, Target reported the following:

• Earnings per share (EPS): $2.05
• Revenue: $25.21 billion

As CNBC notes, those figures actually came in slightly above LSEG analyst expectations, which were expected EPS of $2.03 and expected revenue of $24.93 billion.

Yet those small beats weren’t enough to discourage investors from dumping the stock. Target reported several other metrics that show the company is still struggling.

The company revealed that its net sales were down 0.9% for the quarter, with comparable sales decreasing by 1.9%. Its net income for the quarter was $935 million, which was down significantly from the $1.19 billion in net income in the same quarter a year earlier. Likewise, its revenue of $25.21 billion for the quarter was also down from a year earlier, when net revenue totaled $25.45.

The company also maintained its current full fiscal 2025 forecast of adjusted earnings per share (EPS) of between $7.00 and $9.00. This forecast expects the company to see “a low-single digit decline in sales.” The company previously cut back its initial full-year forecast back in May.

Meet Target’s new CEO, Michael Fiddelke

In addition to announcing its Q2 2025 results, Target also revealed that it would be getting a new CEO. The company announced that its current CEO, Brian Cornell, will be stepping down from the role in February 2026. On February 1, its new CEO, Michael Fiddelke, will take the reins. Cornell has been Target’s CEO since 2014.

Fiddelke himself is no stranger to Target. He’s been with the company for two decades, first starting at the retailer as an intern. Fiddelke rose through Target’s ranks through the years, and currently serves as the company’s chief operating officer (COO). He was also previously the company’s chief financial officer (CFO).

Announcing the CEO transition, Target’s lead independent director of the company’s Board of Directors, Christine Leahy, said that Fiddelke “is the right leader to return Target to growth, refocus and accelerate the company’s strategy, and reestablish Target’s position as a leader in the highly dynamic and fast-moving retail environment. Michael’s tenure gives him unmatched enterprise insight and a base of strong team trust. But what sets him apart is how he combines those strengths with a ‘fresh eyes’ mindset, challenging the status quo to evolve how the business operates, differentiates and delivers long-term value.”

After Fiddelke assumes the CEO position, Cornell will stay on at the company in the role of the executive chair of the Board of Directors.

TGT stock is having a rough ride

Target has been struggling for quite a while with declining sales. It is facing problems many other retailers are, including inflationary pressures; cash-strapped consumers who are cutting back on discretionary spending, which includes the majority of the goods Target sells; and increased competition from online retailers like Amazon and brick-and-mortar competitors like Walmart.

In 2025, the company is also facing increased costs thanks to President Donald Trump’s tariffs, which are raising the price Target must pay for the goods it imports into the country. Target must either absorb those rising costs, leading to a worsening bottom line, or pass them on to consumers, who may further cut back their spending due to those price hikes.

After today’s announcements, TGT shares are currently down nearly 10% to just above $95 apiece. And unfortunately for investors, the company’s shares aren’t just sliding this morning.

TGT shares have fallen steadily over the past year. Since the beginning of 2025, TGT shares were down over 22% year-to-date, as of yesterday’s close. And over the past 12 months, TGT shares have fallen more than 27% as of yesterday’s close.