Target’s Chief Operating Officer Michael Fiddelke will become CEO, succeeding Brian Cornell effective Feb. 1. Fiddelke, a 20-year Target veteran, aims to rebuild momentum and return to profitable growth by focusing on unique items, consistent customer experience, and efficient technology use. Target’s stock dropped 6% after the announcement.

Fiddelke was chosen after an external search, despite Wall Street’s preference for an outsider CEO. Target’s stock has plummeted by 60% since 2021, with a 22% drop in 2025 alone. The retailer faces competition, cost pressures, and backlash for reversing diversity policies. The Ulta Beauty partnership will end in August 2026.

Fiddelke vows to lead Target back to growth, emphasizing his understanding of the business and commitment to evolving operations for long-term value. Target’s board praises his enterprise insight and ability to challenge the status quo. Despite investor preference for an outsider, the board believes Fiddelke’s experience and fresh perspective will drive success.

Read more at CNBC: Target picks Michael Fiddelke as CEO to replace Brian Cornell