GPS stock was down on Friday following news that Gap (NYSE:GPS) President and CEO Art Peck is leaving the company.
According to the GPS stock news release, Peck is also leaving behind his position on the company’s Board of Directors. He will be leaving the company entirely following a short transition period.
With the Gap CEO stepping down, Robert Fisher will be taking over as its interim President and CEO of the company. Fisher is currently the non-executive chairman for the GPS Board of Directors.
The following is Fisher’s statement concerning the switch of CEOs.
“As the Board evaluates potential successors, our focus will be on strong leadership candidates with operational excellence to drive greater efficiency, speed and profitability. In the meantime, we will continue to focus on leveraging the power of our brands and the talented teams that lead them to improve execution and better position the portfolio for growth.”
The press release from Gap also contains some more bad news for GPS stock. This comes in the form of a guidance update for 2019. The company says that it now expects adjusted EPS for the year to range from $1.70 to $1.75. The previous outlook had this between $2.05 and $2.15. It also doesn’t look good next to Wall Street’s 2019 EPS estimate of $2.07.
GPS stock closed out the day on Friday down 7.64%. It’s also down 29,86% year-to-date.
As of this writing, William White did not hold a position in any of the aforementioned securities.