2023-05-26 13:00:39
After the departure of CFO, Marcelo Kopel, CVC (CVCB3) announced the resignation of its chief executive, Leonel Andrade, last Wednesday night (24). Before that, the shares had already fallen 7.56% in the session the day before.
Analysts were already projecting more pressure on stocks with Andrade’s departure, so much so that the beginning of the session was quite volatile. The drop was firmed at the end of the morning and extended, the assets closed down 4.63%, at R$ 2.68.
Even in the accumulated result for the year up to the session of the last May 24th, CVC CVCB3 shares have accumulated a drop of 37.4%. This represents the second highest low on the Ibovespa in 2023.
And the new CEO?
CVC has not yet announced a replacement, but said the succession process has already begun. And the company announced that “in order to ensure the continuity of the company’s operations”, the Board of Directors created a transition committee, which is now led by director Sandoval Martins.
In addition, in the first quarter of 2023, the company recorded earnings before interest, taxes, depreciation and amortization of BRL 15.8 million, which negatively impacted the increase in expenses, leading to a worsening of operating leverage.
Is it worth investing in CVC (CVCB3)?
“Taking everything into account, we avoid CVC”, analyzed JPMorgan, which usually has an underweight recommendation for the asset, which is when the exposure is below the market average, equivalent to selling. Citi, on the other hand, reiterated a neutral recommendation for the stock and also highlighted that there is already a succession plan in progress, in which the reference shareholders have been more active in the company.
Guide also pointed out the news as negative. “The CEO’s departure without a clear transition plan should make the company’s recovery even more difficult and be poorly received by investors (even considering the 7% drop in CVCB3 yesterday)”, they justified.
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