Target Stock Falls as Company Scrambles to Avoid Bud Light's Fate

Target has removed some of its LGBTQ+ merchandise from its stores ahead of Pride month in June, after a controversy around its "tuck-friendly" swimsuits caused a backlash, the retailer's shares fell and some staff reported "threats."

The swimsuits, which allow trans women who have not had gender-affirming operations to hide their private parts, caused a stir from critics who accused the American retailer of trying to sell the product to children. Target told the Associated Press that kids' swimsuits in the Pride collection did not include the "tuck-friendly" label that angered so many customers. One kids' black swimskirt for sale at Target featured a tag reading: "Thoughtfully Fit on Multiple Body Types and Gender Expressions."

The retailer's announcement follows calls for a boycott by many customers, as well as high-profile figures like Colorado Republican Representative Lauren Boebert, comedian Chrissie Mayr, and broadcasters Megyn Kelly and Tomi Lahren. The outrage has fed into a broader debate about the acceptance of transgender individuals in public life.

In a statement announcing Target's decision to remove or relocate some of the LGBTQ+ apparel, the company said the recent backlash had exposed its staff to potentially violent confrontations with shoppers.

"Since introducing this year's collection, we've experienced threats impacting our team members' sense of safety and well-being while at work," Target said in a statement released on Tuesday.

"Given these volatile circumstances, we are making adjustments to our plans, including removing items that have been at the center of the most significant confrontational behavior."

The company has not specified the items it was removing from its collection, which will no longer be available in stores or on its website, as the products are still under review.

Target employees told Fox News on Tuesday that they were moving the Pride merchandise from the front of its stores to the back in some Southern outlets to avoid confrontations with shoppers.

Other items besides the "tuck-friendly" swimsuits causing anger, include a satanic-themed T-shirt that has made the rounds on social media. The products, part of the LGBTQ+ brand Abprallen, were immediately removed, according to Reuters.

On Tuesday, Target's shares were down by 3.13 percent to $147.16, as shown by Google Finance's data. MarketWatch reported that Target was underperforming compared to its competitors, with Amazon's shares falling by 0.02 percent, Walmart was down by 0.19 percent and Costco shed 1.42 percent.

It was Target's fourth consecutive day of losses, according to MarketWatch, with the share price having fallen more than 5 percent in that time. On Tuesday, the company closed $36.73 below its 52-week high of $183.89 reached on August 16, 2022.

Other companies have recently been targeted by backlashes after taking a stance in favor of trans rights and trans visibility, including Nike, Adidas, and Bud Light.

Bud Light was subject to a massive boycott by many customers angered by the brand's decision to offer a paid sponsorship deal to trans activist and influencer Dylan Mulvaney in March. The following month, sales for Bud Light declined more than 17 percent.

Despite the backlash, Target has some received support from customers. One Twitter user wrote that the "Target pride collection gets better every year," while another said of a onesie with "gay" written on the back: "Losing my mind over this piece of clothing from target's Pride collection."

Newsweek has contacted Target's press team for comment by email.

Update 5/24/23, 9:30 a.m. ET: This article was updated to add more details about the trans-friendly products on sale at Target as part of the company's Pride clothing collection.