Did Target lose $15.7 billion since rolling back DEI initiatives? Viral claim debunked 

In February, rumors circulated online that American retail giant Target had lost $15.7 billion in market value after rolling back its Diversity, Equity, and Inclusion (DEI) initiatives in response to directives from the Trump administration in January 2025.

While the exact date of the claim’s emergence remains unknown, several users across social networking sites, including X, Facebook, Threads, Reddit, and Bluesky, shared it earlier this month, according to Snopes.

However, the now-viral rumor has been proven false. Target did not lose $15.7 billion due to the withdrawal of its DEI policies. In fact, the last two times the company’s market value dropped were in May 2023 and November 2024, but neither incident was related to DEI, as explained by Snopes.

Additionally, Target’s director of issues and crisis communications, Jim Joice, informed the outlet through an email that the rumor was “inaccurate.”

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Target has not lost $15.7 billion in market value for dropping DEI initiatives in 2025

Early in his second term, President Donald Trump issued an executive order directing companies to roll back their DEI initiatives. The memorandum stated that those who failed to comply with the policies would have their funds frozen.

In response, several major corporations, including Amazon, Walmart, Google, Ford, Meta, Best Buy, and Google, reportedly backed out of their DEI initiatives. CBS News reported that PBS closed its DEI offices.

Target also joined this group and, on January 24, issued a press release titled "Target's Belonging at the Bullseye Strategy," announcing that the company was "concluding" its DEI goals and its Racial Equity Action and Change (REACH) program before its original expiration later this year.

Amid this, a claim emerged on social media earlier this month that the retailer lost billions of dollars in market value. However, this claim is false, and no official or verifiable reports support it.

As explained by Snopes, the company’s stock prices reportedly dipped twice in the last two years, leading to a drop in market value. The first decline occurred in May 2023, allegedly after its 2023 PRIDE campaign.

During that time, the major retailer announced that it was removing items associated with "significant confrontational behavior" from its stores. The company had faced backlash from several LGBTQ+ advocacy groups for its PRIDE collection, which included the “tuck-friendly” women’s swimwear.

The following month, publications such as the New York Post, Bloomberg, and Fox Business reported that the retail giant's market value had dropped by $15.7 billion, the same figure mentioned in the recent claims.

Later, in November 2024, the company’s stock prices fell by 21 percent in one day, resulting in another decline in market value. At that time, outlets such as Reuters reported the same $15.7 billion losses. This loss appeared to stem from a disappointing third-quarter (2024-2025) financial report.

Reuters explained that the company's CEO Brian Cornell said in a post-earnings call that the losses were attributed to low sales of high-margin items like technology, shipping concerns, and consumers choosing to buy products on sale or at discounted prices rather than paying full price.

Meanwhile, CNBC reported a similar call where the company's officials cited increased shipping costs due to the October 2024 port strike across the USA as the reason for the loss.

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Notably, Target's January 2025 DEI rollback initially resulted in a surge in stock prices three days after the announcement on January 27. However, it experienced a slight decline later in February, as reported by stock exchange Nasdaq. Fortune reported on February 22 that foot traffic in stores dropped by nearly 10 percent.

The company is also caught in two ongoing lawsuits in Florida, where it faces accusations of failing to disclose the financial risks of its 2023 PRIDE campaign that resulted in a decline in stock prices.

Target has consistently emphasized its DEI goals and was recognized by the Executive Leadership Council in 2022 for its “outstanding commitment to achieving Diversity, Equity, and Inclusion.”

On February 28, a nationwide economic blackout is scheduled by the consumer-activism group The People's Union USA, which has targeted several large corporations, including Target, for boycotts.