The American Federation of Teachers (AFT) passed a resolution on March 26, 2026 that calls on its 1.8 million members to avoid shopping at Target. The resolution cites Target’s perceived inadequate response to the federal immigration‑enforcement operation in Minneapolis, known as Operation Metro Surge, which began in December 2025 and resulted in the deaths of two U.S. citizens during an ICE raid.
Target’s public statement emphasized a “longstanding commitment to strengthening the communities we serve,” but it declined to comment on the specifics of the AFT’s criticism. The union’s complaint centers on the company’s handling of the ICE operation, arguing that Target failed to protect employees and customers from the heightened enforcement activity.
In its most recent earnings release, Target reported Q4 2025 net sales of $30.5 billion, a 1.5% decline from the prior year, and an adjusted earnings per share of $2.44—$0.28 above the $2.16 consensus estimate. The earnings beat was driven by disciplined cost management and a favorable mix shift toward higher‑margin categories such as food & beverage, beauty, and toys, while non‑merchandise sales, including membership revenue and same‑day delivery, grew more than 25%.
Management highlighted the company’s confidence in a 2% net‑sales growth for fiscal 2026 and an adjusted EPS range of $7.50 to $8.50, signaling optimism about the rebound of core retail operations and the momentum of its digital initiatives. The AFT boycott could pressure sales during the back‑to‑school period, a critical season for Target, and may erode consumer trust amid an ongoing turnaround under new CEO Michael Fiddelke.
The AFT’s resolution is part of a broader labor‑union push that includes planned presentations at the AFL‑CIO convention and potential support from the NAACP and LULAC. Target has faced previous boycotts, including a 2025 campaign linked to the company’s rollback of diversity, equity, and inclusion commitments.
Analysts have responded to Target’s earnings beat by raising price targets—Morgan Stanley lifted its target to $145 from $125, and UBS increased its target to $144 from $135—reflecting confidence in the company’s margin improvement and strategic focus on digital and membership growth. The union‑led boycott adds a new risk factor that could influence future earnings and brand perception.
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