Target, one of the biggest retailers in the U.S., has seen a significant dip in its stock price following a backlash over its support for LGBTQ-themed products, which Twitter CEO Elon Musk anticipates will cause an influx of lawsuits against Target due to the destruction of shareholder value. Major financial services firm JPMorgan downgraded Target’s stock from overweight to neutral due to these ongoing issues, indicating that the share loss could extend through the year-end holiday season.
Many prominent conservative voices have fueled calls for a boycott against Target, accusing the retailer of promoting transgender ideologies, which they claim is more about earning points on environmental, social, and governance standards rather than genuine support. Target, however, is not alone, with companies like Bud Light, PetSmart, Chick-fil-A, and Walmart also facing similar backlash and boycott calls for endorsing LGBTQ causes.
Target CEO Brian Cornell, defending the company’s decision, argued that their commitment to diversity and inclusion has been a cornerstone of their growth over the past nine years. He maintains that this stance is not just a good business decision, but the right thing to do for society. Despite the controversy, some products that have sparked criticism include a “Bien Proud” onesie, a children’s book called Twas the Night Before Pride, and “tuck-friendly” swimwear.
The situation highlights an increasingly prevalent debate about the role of corporations in societal issues. Amid this controversy, pro-LGBTQ groups like the Human Rights Campaign (HRC) have rallied against the boycotts, labeling them as efforts orchestrated by extremist groups to stifle LGBTQ representation. These actions, according to HRC, are meant to silence allies and make the LGBTQ community invisible.
However, the effectiveness of such boycotts remains to be seen. Sen. Ted Cruz (R-TX) expressed skepticism over the lasting impact of such actions, arguing that while it’s relatively simple to switch brands for a product like beer, it’s a more significant endeavor to change retailers, especially given Target’s widespread and convenient locations.
