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Target joins Walmart in pulling back on DEI. But this big retailer and its shareholders are staying the course. - MarketWatch

1. Target ends diversity initiatives to align with changing external pressures. 2. Announcement follows Costco's shareholder meeting vote against DEI reporting. 3. Target will stop external diversity-oriented surveys to refocus on growth. 4. Shift mirrors trends among major retailers reducing diversity commitments. 5. Legal threats and political actions influence corporate DEI strategies.

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FAQ

Why Bearish?

Target's DEI redirection could lead to customer backlash and reduced brand loyalty, impacting sales as seen in other retailers like Walmart and McDonald's.

How important is it?

The shift away from DEI policies can significantly alter Target's market perception and consumer behavior, which typically affects stock performance.

Why Short Term?

The immediate response to this policy shift could affect consumer sentiment quickly, influencing sales in the near future.

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