Target Names Michael Fiddelke as Next CEO, Ending 11-Year Tenure of Brian Cornell

Target has named Michael Fiddelke, a longtime company veteran, as its next CEO. Fiddelke joined Target in 2003 as an intern and rose through the ranks to CFO and then COO. He will assume the role of CEO on Feb. 1, 2026, and is expected to focus on improving the quality of merchandise, value and style, ensuring a consistent shopper experience, and embedding more technology in all business operations. Fiddelke's appointment marks a return to picking names from within the company for the top job.

Target Corporation (NYSE: TGT) has announced that Michael Fiddelke, a 20-year company veteran, will succeed Brian Cornell as chief executive officer. The appointment, effective February 1, 2026, marks a return to selecting internal candidates for the top position after a decade under Cornell's leadership. Fiddelke, who has held various leadership roles across merchandising, finance, operations, and human resources, is expected to focus on improving merchandise quality, enhancing customer experience, and integrating technology into business operations.

Fiddelke's appointment comes at a critical juncture for Target, which has faced stagnant sales and market share losses in recent years. Under Cornell's leadership, Target grew from a $34 billion company to a $105.88 billion revenue giant, developing omnichannel capabilities and maintaining a 55-year streak of dividend payments. However, recent financial challenges, including a 0.69% revenue decline, necessitate a strategic shift.

Fiddelke's tenure as COO and CFO saw him oversee investments in stores, supply chain, and digital capabilities, delivering over $2 billion in efficiencies. He will now take on the challenge of rebuilding momentum and returning to profitable growth. "We have work to do to reach our full potential," Fiddelke acknowledged, outlining his priorities: enhancing Target's reputation for unique and stylish merchandise, providing a consistent customer experience, and leveraging technology more effectively.

The appointment follows an extensive external search and assessment process. Christine Leahy, lead independent director of Target's Board, praised Fiddelke's "unmatched enterprise insight and strong team trust," noting his ability to combine these strengths with a "fresh eyes" mindset. Cornell will transition to the role of executive chair, allowing Fiddelke to focus on operational improvements.

The market's reaction to the announcement was mixed. Target shares dropped about 10% in premarket trading, reflecting investor concerns over the appointment of an internal candidate. However, analysts have revised earnings estimates upward, suggesting confidence in Fiddelke's ability to turn around Target's fortunes.

Fiddelke's appointment also coincides with strategic adjustments, including the end of Target's partnership with Ulta Beauty in August 2026. This partnership had included co-located selling spaces at over 600 Target stores. Mizuho has maintained a Neutral rating on Target with a price target of $88 following this announcement.

Target's upcoming earnings report has drawn attention, with Evercore ISI reiterating an In Line rating and a price target of $108. Meanwhile, TD Cowen has lowered its price target for Target to $100, citing a weak second-quarter outlook. Telsey Advisory Group maintains its Market Perform rating and a $100 price target, projecting a decline in comparable sales and earnings for 2025.

Fiddelke's appointment signals Target's commitment to internal growth and innovation. As he takes the helm, investors will be closely watching his progress in addressing the retailer's challenges and driving growth.

References:
[1] https://www.investing.com/news/company-news/target-coo-michael-fiddelke-to-succeed-brian-cornell-as-ceo-93CH-4201753
[2] https://www.cnbc.com/2025/08/20/target-picks-michael-fiddelke-as-ceo-to-replace-brian-cornell.html