Target Sales Slump After Backlash Over Pride Merchandise

Target experienced a sales downturn after customer backlash over its Pride collection, including threats against employees.
The retailer saw declines in comparable sales, revenue, transactions, and average transaction amount compared to last year.
Target says it will make adjustments to future Pride collections, including more focused merchandise assortments.
Despite the sales decline, Target's profit exceeded expectations due to lower costs and reduced discounts.
Target lowered its full-year financial outlook amid continued economic challenges like inflation and cautious consumer spending.