'Shacking' CEO News!: Gooch Leaves RadioShack (RSH) as Shares Hit Bottom
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Price: $4.01 +2.04%
Overall Analyst Rating:
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Dividend Yield: 10.6%
Revenue Growth %: -15.9%
Overall Analyst Rating:
NEUTRAL (
Down)Dividend Yield: 10.6%
Revenue Growth %: -15.9%
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The Gooch is gone.
RadioShack (NYSE: RSH) decided its current strategy wasn't quite working out as hoped, announcing a "mangement transition" today which amounted to CEO James Gooch stepping down as CEO.
Gooch was CEO at RadioShack since May 2011, overseeing a roughly 82 percent drop in the stock price.
RadioShack doesn't seem torn up about the departure; the company emailed a statement to the WSJ saying, "In its discretion, the board the decided the timing was right. Moving forward with the decision sooner rather than later will help establish the right leadership to address the company's challenges and capitalize on its opportunities" [emphasis ours].
Stepping up to the plate while RadioShack conducts an executive search will be finance chief Dorvin Lively, who joined the firm in August 2011.
For the last few years, RadioShack has moved away from the PC (radio?) parts business and more into selling smartphones and accessories, mostly hoping to turn a profit on the accessory sales.
Icing on the cake could have been a move by S&P on Monday to remove the stock from the S&P MidCap 400.
As far as a investors are concerned, there is some hope that Mr. Gooch's exit may stop the bleeding in the stock. Look no further than Yahoo!. The company canned CEO Carol Bartz in September 2011, shares are up 10 percent since then.
Shares of "the Shack" are indicated for a lower open Wednesday.
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RadioShack (NYSE: RSH) decided its current strategy wasn't quite working out as hoped, announcing a "mangement transition" today which amounted to CEO James Gooch stepping down as CEO.
Gooch was CEO at RadioShack since May 2011, overseeing a roughly 82 percent drop in the stock price.
RadioShack doesn't seem torn up about the departure; the company emailed a statement to the WSJ saying, "In its discretion, the board the decided the timing was right. Moving forward with the decision sooner rather than later will help establish the right leadership to address the company's challenges and capitalize on its opportunities" [emphasis ours].
Stepping up to the plate while RadioShack conducts an executive search will be finance chief Dorvin Lively, who joined the firm in August 2011.
For the last few years, RadioShack has moved away from the PC (radio?) parts business and more into selling smartphones and accessories, mostly hoping to turn a profit on the accessory sales.
Icing on the cake could have been a move by S&P on Monday to remove the stock from the S&P MidCap 400.
As far as a investors are concerned, there is some hope that Mr. Gooch's exit may stop the bleeding in the stock. Look no further than Yahoo!. The company canned CEO Carol Bartz in September 2011, shares are up 10 percent since then.
Shares of "the Shack" are indicated for a lower open Wednesday.
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