New CEO Michael Fiddelke Announces his presence with Authority
By Jeff Macke
February 10, 2026
Target’s Executive Reset: A Return to "Retail 101"
Michael Fiddelke is wasting no time. Just ten days into his tenure as CEO, Fiddelke has executed a sweeping leadership overhaul aimed at one goal: reclaiming Target’s identity as an operational and design powerhouse. For investors, the message is clear—the era of "social mirrors" is being replaced by a radical focus on the "Excellent Shopkeeper."
Meet the New Boss, Different from the Old Boss
The primary move is the consolidation of power under two long-tenured insiders. Cara Sylvester has been named the singular Chief Merchandising Officer, tasked with restoring Target’s "cheap chic" cachet. Simultaneously, Lisa Roath moves into the Chief Operating Officer role. By pairing a Guest Experience veteran (Sylvester) with a high-volume Essentials expert (Roath), Fiddelke is betting he can bridge the gap between "Tar-zhay" inspiration and Walmart-level execution.
Shameless Plug: Target was my pick for Top Turnaround of 2026. Members of The Macke Portfolio learned about my bullish TGT options trade on December 31 when the stock was $97. We're up 90% since then.
When Fiddelke was named CEO Wall St sold the news on worries that an insider would be reluctant to make aggressive moves when he took over from long-time CEO Brian Cornell. In 10 days he’s replaced two of Cornell’s team, laid off 500 DC workers in order to invest more in stores and is looking for outsiders to take over Guest Experiences and Marketing.
Fiddelke has announced his presence with authority. He’s giving the company a new vision, crushing the old one and recognizing the need for fresh eyes. That’s only a start but it’s a good one.
Focusing on All Customers
The departure of Rick Gomez (Chief Commercial Officer) and the retirement of Jill Sando mark a definitive break from the previous administration.
Gomez, was the primary architect of Target’s purpose-driven marketing, to the point that he seemed to almost willfully lose the thread on what it means to be a mass merchant. “Purpose is everything,” he once offered to the general bafflement of investors. “We don't think of ourselves in the business of selling stuff... we think of ourselves as bringing joy to all families."
Target has always, always, been in the business of bringing joy to families by offering clean discount stores selling surprisingly upscale clothing and accessories. Everyone who respected the space and the mission was welcome. That’s how Target attracted a higher-end customer.
As my dad used to say, “rich people like deals too, they just won’t go to a dump to find them.”
Fiddelke is bringing a sense of urgency to getting back to that very basic, politically neutral mission.
If the new leadership can ensure that mothers never have to buy clothes off a "filthy rack" and that human interaction returns to the checkout, Target may finally recapture the affluent suburbanite who has drifted toward the consistency of Costco.
Earning a Much Higher Price Target
Target has badly lagged Costco and Walmart over the last 5 years for very good reasons. They’ve lost customers, margin and their raison dêtre. Michael Fiddelke is off to a good start but for it to pay off over the long run he’s going to have to execute. The stores need a rethink. Service levels have to improve and they need to do better on fashion.
But the company doesn’t have to be perfect to work as an investment. They just have to be better. I’ve already taken a position in the Portfolio+ and will keep subscribers in the loop as I look to profit from the story as it develops.
After 2 years Target is back on my radar. You need to put it on yours as well.
