Target’s DEI whiplash and stock price roller coaster

On May 24, 2023, Target announced that it was removing items at the center of “significant confrontational behavior” in stores after public backlash against the company’s Pride collection. The recall, spurred on by backlash against products including “tuck-friendly” women’s swimsuits, was criticized by leading groups in the LGBTQ+ community.

In the weeks following the announcement, outlets including the New York Post, Bloomberg and Fox Business reported on increased market value losses for Target, totaling up to $15.7 billion — the same figure touted in the February 2025 claim.

The figure also featured in reporting about Target’s earnings report for the third quarter (Q3) of the financial year 2024-2025 and the resulting dip in market value. Target shares dipped 21% in a single day following the Q3 earnings report on Nov. 20, 2024. Outlets including Reuters reported the lost market value to be $15.7 billion.

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According to the stock exchange Nasdaq, Target’s stocks reached a 2025 high of $142.51 on Jan. 27, three days after the DEI announcement. Stock prices then fell into February.

While there is no proof that Target lost $15.7 billion in market value after changing its DEI measures in January 2025, DEI-related events from recent years have caused both financial and now legal problems for the company.

As of this writing, plaintiffs in Florida have filed two lawsuits against the company, both claiming they were defrauded by Target because the company failed to disclose the financial risks of its 2023 Pride campaign that sent stocks tumbling.

The most recent of these suits, filed on Feb. 20, was brought as a class-action lawsuit by Florida Attorney General James Uthmeier. Both lawsuits are ongoing as of this writing.

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