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Target Shares Rise on Reported Toms Capital Stake as Pressure Builds

The retailer points to a get-back-to-growth plan following three straight quarters of declining sales.

Overview

  • Financial Times, cited by Reuters, reported that Toms Capital has taken a significant stake in Target and is pressuring the company for changes, citing people familiar with the matter.
  • Target said it maintains regular dialogue with investors and that returning to growth is its top priority.
  • Shares gained about 1.5% to more than 2% after the report, though the stock is down roughly 26% for the year.
  • Target has cut about 1,800 corporate roles and plans an additional $1 billion in 2026 for new store openings and remodels.
  • Walmart has been gaining market share with low-priced essentials and fast delivery, while incoming chief Michael Fiddelke is slated to take over in February.