With shares near 52-week lows, retailer Target Corp (NYSE: TGT) is ready to go to "Work" with bestselling musician and billionaire Rihanna.
Here's a look at the partnership that Target hopes will lift up shares.
What Happened: Rihanna is best known for her music and catalog of hit songs but is also a billionaire and entrepreneur behind several successful companies.
One of those companies, Fenty Beauty, announced a partnership with Target and Ulta Beauty Inc (NASDAQ: ULTA) that will see products expand distribution to Target stores and online.
Set to launch on Oct. 1, Ulta Beauty at Target will carry Fenty Snackz, a new line of Fenty Beauty bestselling products in mini sizes and sets.
"The goal has always been to bring Fenty Beauty to as many people as possible. I'm excited to introduce the Fenty Snackz and give Ulta Beauty at Target guests a new way to experience the brand," Rihanna said.
Several of the new products will be exclusive to Target. Prices listed for products in the press release ranged from $15 to $39.
Why It's Important: Ulta and Target announced a partnership in 2020 that created a store-within-a-store concept that started with 100 Target stores in 2021.
"For two years, Ulta Beauty at Target has offered the makeup, skincare, and hair care brands our guests love, and we are thrilled to add the beloved Fenty Beauty brand," Target Executive Vice President and Chief Merchandising Officer Jill Sando said.
Ulta Beauty at Target has attracted several top names expanding their distribution to the larger retailer, including Millie Bobby Brown, Tracee Ellis Ross, Ariana Grande and Billie Eilish, according to Glossy.
Fenty Beauty was launched in 2017 by the singer and through a partnership with beauty conglomerate LVMH Moet Hennessy Louis Vuitton SE (OTC: LVMHF) (OTC: LVMUY). Rihanna owns 50% of the company.
Rihanna also launched the fashion brand Fenty and lingerie company Savage x Fenty.
In 2023, Rihanna became the first billionaire to perform during a Super Bowl Halftime Show in 18 years with her appearance at Super Bowl LVII. The game was watched by an average of 113 million people, with 118.7 million tuning in for halftime.
Rihanna is also one of the most followed people on social media, with 108 million followers on Twitter, ranking 5th, and 152 million followers on Instagram, ranking 28th. Target could see a boost from any social media activity by the singer.
TGT, ULTA Price Action: Target shares trade at $110.98 versus a 52-week trading range of $108.15 to $181.70. Shares of the retailer are down 27% year-to-date in 2023.
Ulta Beauty shares trade at $402.32 versus a 52-week trading range of $373.80 to $556.60. Shares of the beauty retailer are down 15% year-to-date in 2023.