Walmart, Target, and Other Retail Stocks Sink as Investors Digest Trump Tariffs
Key Takeaways
Shares of Walmart (
WMT
), Target (
TGT
), and other retailers sank Thursday after the Trump administration
announced sweeping reciprocal tariffs
against U.S. trading partners.
Shares of Best Buy, Dollar Tree (
DLTR
), Dollar General (
DG
), Costco Wholesale (
COST
), Five Below (
FIVE
), and Macy’s (
M
) also lost ground amid a
broader market decline
, with Dollar Tree and Best Buy shares down over 11%, and Five Below shares tumbling 25% in recent trading.
President Donald Trump on Wednesday afternoon outlined a broad new set of
tariffs
against goods from
dozens of countries
, set to take effect April 9. A number of retailers like Target and Best Buy (
BBY
) have previously warned that such tariffs could
negatively impact
their profit margins unless they and their suppliers
raise prices
.
Amid uncertainty about the impact tariffs will have on the economy, The National Retail Federation on Wednesday projected
retail spending growth could slow
in 2025.
Several economists
warned after Wednesday’s announcement
that the higher-than-expected tariff rates could lead to higher prices, while some suggested that the April 9 deadline leaves time for negotiations.
UPDATEāApril 3, 2025: This article has been updated since it was first published to reflect more recent share price values.
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