Target | Q2 2025: Improving trends and a new era of leadership bring cautious optimism

Target enters the second half of 2025 with both change and hope. After a challenging period of slowing demand, inflationary pressures and high inventories, the US retail giant is returning to a path of gradual stabilization. The second quarter brought visible improvement in operating trends - foot traffic and sales increased, digital channels continued to grow, and the company was able to maintain solid profits despite higher costs and margin pressure.

A symbolic milestone is also the appointment of Michael Fiddelky as the new CEOopening a new chapter in the company's history. Target is combining its efforts to modernize its business model with an emphasis on efficiency, digitization and strengthening customer loyalty at a time when U.S. retail is adjusting to slower but healthier growth.

How was the last quarter?

Second-quarter revenue was $25.2 billion, down 0.9% year-over-year but a marked improvement from a weaker first quarter. Comparable store sales were down 1.9%, with brick-and-mo…