Boot Barn’s (BOOT) stock plunged 20% in a single trading session on news that the company’s longtime chief executive officer (CEO) is leaving.
Shares of the California-based company that specializes in cowboy boots collapsed after CEO Jim Conroy announced that he is leaving Boot Barn to lead retailer Ross Stores (ROST).
Conroy is departing in November of this year. John Hazen, Boot Barn’s current chief digital officer, will serve as interim CEO while a permanent replacement for Conroy is found.
Conroy led Boot Barn for more than a decade. During his tenure, the company grew its retail chain, went public, and saw its share price rise steadily along with its sales and profits.
News of Conroy’s departure came as Boot Barn reported its latest financial results.
For this year’s third quarter, the company announced earnings per share (EPS) of $0.95 U.S., which slightly missed Wall Street forecasts of $0.96 U.S.
Revenue in the quarter was up 14% from a year earlier at $425.8 million U.S. Same-store sales increased 4.9% year-over-year and surpassed the 3.9% consensus estimate of analysts.
Boot Barn also raised its forward guidance, saying it now expects full-year earnings of $5.30 U.S. to $5.60 U.S. a share on revenue of $1.87 billion U.S. to $1.91 billion U.S.
Even with the 20% one-day decline, the stock of Boot Barn is up 72% this year and has risen 86% over the last 12 months. The company’s shares currently trade at $129.38 U.S.