03:09 PM EST, 02/03/2025 (MT Newswires) -- Target ( TGT ) and its chief executive and board members are facing a shareholders' lawsuit filed by a police pension fund in Riviera Beach, Florida, for allegedly downplaying the risks associated with its diversity, equity and inclusion programs, according to a complaint filed Friday.

The retailer allegedly failed to disclose the risks of the release of more than 2,000 products tied to its Pride celebration for LGBTQ+ people in May 2023, along with a subsequent campaign in 2024, that resulted in consumer backlash and boycotts. The company's stock price suffered a massive decline and lost tens of billions in its market capitalization from May 2023 through present, the complaint showed.

"Target's ( TGT ) underperformance was due to the continued backlash from its campaigns further eroding its profitability and damaging investors," according to the complaint.

The suit was brought on behalf of those who bought Target ( TGT ) stock from Aug. 26, 2022, through Nov. 19, 2024, who are also seeking class-action status and want to receive unspecified compensatory damages, attorney's fees and other costs.

Target ( TGT ) did not immediately respond to a request from MT Newswires seeking comment on Monday.

Shares of the company were down 2.2% in recent Monday trading.

Price: 134.94, Change: -2.97, Percent Change: -2.15