August 20, 2025
Target’s CEO is stepping down as the retailer suffers from declining sales and backlash over its distancing from DEI initiatives.
Target’s challenges are mounting as its CEO of 11 years steps down amid sharp sales declines and ongoing backlash over the retailer’s pullback on DEI initiatives.
The mega-retailer’s current CEO, Brian Cornell, appeared on a call with analysts on Aug. 20, where he announced his decision to resign from the company on Feb. 1, 2026, CNN reports. Cornell will be replaced by Michael Fiddelke, Target’s current Chief Operating Officer, as he steps down to an executive chairman role.
Fiddelke, 49, who has spent 20 years at Target after starting as an intern, was chosen from a “strong list of external and internal candidates,” Cornell said, adding that he is the “right candidate to lead our business back to growth.”
His exit comes more than a decade after he took the helm in 2014, leading a turnaround that included store remodels and bolstering Target’s online business to better compete with Amazon.
Many widely anticipated his departure amid ongoing challenges at Target. The retailer has experienced a decline in sales of its home goods and apparel products, coupled with fierce competition from Walmart, Amazon, and Costco. The slump was only compounded by boycotts launched earlier this year over the company’s rollback of DEI initiatives.
Speaking during the analyst call, Fiddelke said he is “stepping in with urgency to rebuild momentum and return to profitable growth.” Target “must improve,” and the company is “not realizing our full potential right now,” he added.
Fiddelke’s revitalization plans include introducing trendier merchandise, creating more inviting stores to improve the customer experience, and investing in technology as part of the “Fun 101” initiative to release products that align with the latest trends in electronics and home goods.
“We’ve built a solid foundation, and we’re proud of the many ways that Target is unique in American retail,” Fiddelke said. “We also have real work in front of us.”
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