Projections were far lower than expected by Wall Street analysts (the term “guidance” means projected earnings). The drop was due to 2017 guidance announced during an investor day event. Target shares did plunge on 28 February 2017, but it wasn’t due to its nearly year-old bathroom policy.
Nearly 1.5 million people have signed the AFA’s petition as of 1 March 2017. The controversy, and Target’s definitive stance, prompted conservative groups like the American Family Association (AFA) to launch a boycott. The announcement came after North Carolina enacted the controversial HB 2 in March 2016, a law that came to be colloquially termed the “bathroom bill,” and required public single-sex restrooms only be used by people of the corresponding biological sex. On 19 April 2016, Target announced that transgender customers and employees were free to use the restroom that corresponded to their gender identity amid a national row on the subject during the 2016 election cycle. The company also admitted that it would likely continue to experience losses through the year. “Our fourth-quarter results reflect the impact of rapidly changing consumer behavior, which drove very strong digital growth but unexpected softness in our stores,” Target CEO Brian Cornell said in a company statement. In contrast, WalMart is up 3 percent since April, and Kohl’s is down less than one percent.Ĭompany officials indirectly acknowledged the consumer boycott. On Tuesday, the stock fell to $58.78, down from its April 19 high of $83.98. That 30 percent drop has slashed investors’ wealth by roughly $15 billion. Target’s stock value is now down by 30 percent since it sparked a consumer boycott by embracing the transgender political agenda.
On 28 February 2017, reported that big box retailer Target’s stock had “crashed,” losing a combined total of $15 billion in investor wealth, because of the chain’s announcement in 2016 that it would allow transgender customers and employees to use bathrooms corresponding to their gender identity:
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