Breaking News
Investing Pro 0
Cyber Monday Extended SALE: Up to 60% OFF InvestingPro+ CLAIM OFFER

Reckitt Benckiser Slumps as CEO Steps Down

Stock Markets Sep 01, 2022 09:44
Saved. See Saved Items.
This article has already been saved in your Saved Items
 
© Reuters
 
UK100
-0.48%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
BATS
+0.29%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 
RKT
-0.50%
Add to/Remove from a Portfolio
Add to Watchlist
Add Position

Position added successfully to:

Please name your holdings portfolio
 

By Geoffrey Smith 

Investing.com -- Reckitt Benckiser (LON:RKT) stock slumped in early trade in London on Thursday after the group said its chief executive Laxman Narasimhan is to step down for personal reasons.

Narasimhan, who took over in 2019 as CEO of the consumer group that owns brands such as Lysol and Nurofen, will stay until the end of September when he will relocate back to the U.S. with his family.

He will be replaced by Nicandro Durante, currently, Reckitt's senior independent non-executive director, who was formerly chief executive of British American Tobacco (LON:BATS).

Reckitt Benckiser shares fell 4.4% to their lowest in over a month in response, underperforming the FTSE 100, which was down by 1.0%.

Narasimhan had enjoyed a good relationship with investment analysts despite failing to have a significant impact on the company's stock price in a period dominated by wild swings in consumer spending patterns as a result of the pandemic.

An early surge, thanks to strong demand for its cleaning products - supported by a notorious endorsement from then-U.S. President Donald Trump - reversed quickly as soon as consumers were able to spend money on other things. The stock still trades at a 20% discount to its peers, according to analysts at Morgan Stanley.

However, analysts had been encouraged by the group's recent performance, which they saw as the fruit of Narasimhan's turnaround plans.

His departure will be a "cause for concern," the Jefferies analysts wrote.

Reckitt Benckiser Slumps as CEO Steps Down
 

Related Articles

Add a Comment

Comment Guidelines

We encourage you to use comments to engage with users, share your perspective and ask questions of authors and each other. However, in order to maintain the high level of discourse we’ve all come to value and expect, please keep the following criteria in mind: 

  • Enrich the conversation
  • Stay focused and on track. Only post material that’s relevant to the topic being discussed.
  • Be respectful. Even negative opinions can be framed positively and diplomatically.
  •  Use standard writing style. Include punctuation and upper and lower cases.
  • NOTE: Spam and/or promotional messages and links within a comment will be removed
  • Avoid profanity, slander or personal attacks directed at an author or another user.
  • Don’t Monopolize the Conversation. We appreciate passion and conviction, but we also believe strongly in giving everyone a chance to air their thoughts. Therefore, in addition to civil interaction, we expect commenters to offer their opinions succinctly and thoughtfully, but not so repeatedly that others are annoyed or offended. If we receive complaints about individuals who take over a thread or forum, we reserve the right to ban them from the site, without recourse.
  • Only English comments will be allowed.

Perpetrators of spam or abuse will be deleted from the site and prohibited from future registration at Investing.com’s discretion.

Write your thoughts here
 
Are you sure you want to delete this chart?
 
Post
Post also to:
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Thanks for your comment. Please note that all comments are pending until approved by our moderators. It may therefore take some time before it appears on our website.
 
Are you sure you want to delete this chart?
 
Post
 
Replace the attached chart with a new chart ?
1000
Your ability to comment is currently suspended due to negative user reports. Your status will be reviewed by our moderators.
Please wait a minute before you try to comment again.
Add Chart to Comment
Confirm Block

Are you sure you want to block %USER_NAME%?

By doing so, you and %USER_NAME% will not be able to see any of each other's Investing.com's posts.

%USER_NAME% was successfully added to your Block List

Since you’ve just unblocked this person, you must wait 48 hours before renewing the block.

Report this comment

I feel that this comment is:

Comment flagged

Thank You!

Your report has been sent to our moderators for review
Continue with Google
or
Sign up with Email