Bapcor (BAP) celebrity CEO to depart
BAP -9.58%: the auto parts and servicing business announced the CEO Darryl Abotomey will retire in February next year, sending the stock plummeting. Darryl has led Bapcor for the last 10 years including through its IPO in 2014 and the successful push into the Asian market. The company has been one of the winners through COVID with demand for car parts sky rocketing and earnings up 50% in FY21. They reiterated guidance today with the announcement with earnings expected to be at least in line with FY21 and seeing strong demand through the next 18 months however the market has concerns around the potential reset of earnings that comes with a new CEO as well as the departure of a highly regarded name. Abotomey also has more than 2m shares & performance rights to his name which may increase the pressure come February. The stock is stuck in a range between ~$7 and ~$8.50.
