I've been too busy to post this, but my GUESS is the market wanted to see a viable new CEO take over for the retiring CEO... and the new CEO sees far more upside potential for COHR stock options...
Why Coherent Stock Exploded 20% Higher on Monday
finance.yahoo.com
Rich Smith, The Motley Fool
Mon, Jun 3, 2024, 9:45 AM PDT3 min read
In this article:
Laser maker Coherent (NYSE: COHR) saw its stock run up 19.5% through 11:45 a.m. ET Monday after the company announced it has poached Jim Anderson, CEO of Lattice Semiconductor, to become its own new CEO. Conversely, Lattice shares are down 15% on the news.
Lattice announced simultaneously that it has elevated Chief Marketing Officer Esam Elashmawi to become its interim CEO as it begins its search for a permanent replacement.
Who is Jim Anderson -- and why does everyone want him?
Lattice stock is down significantly from its recent highs hit in March -- which may not seem like high praise, or a great reason for Coherent to be poaching the company's CEO. According to data from S&P Global Market Intelligence, however, Anderson has served as CEO of Lattice since Sept. 4, 2018. And over this longer time span it's worth noting that Lattice shares have roughly octupled in value versus a gain in the S&P 500 of only 100%.
So despite its recent decline, under Anderson's leadership, the stock's still produced 8x better performance than the average stock on the market.
LSCC Total Return Level Chart
This, in a nutshell, may be why Coherent investors are so enthused about today's news -- and why Lattice shareholders are so upset to be losing Anderson's leadership. |
