Kingfisher share price up as group appoints CEO

Kingfisher share price up as group appoints CEO
Written by:
Tsveta van Son
March 11, 2020

Kingfisher’s share price (LON:KGF) has climbed higher in London in today’s session as the DIY retailer announced that it had appointed a Carrefour executive to the top job. The news came after the company announced earlier this year that  current CEO Véronique Laury would step down at an unspecified future date.

As of 08:47 BST, Kingfisher’s share price had added 3.40 percent to 212.80p, outperforming the broader UK market, with the benchmark FTSE 100 index currently standing 0.26 percent higher at 7,435.80 points. The group’s shares have given up more than 31 percent of their value over the past year, as compared with about a 2.6-percent drop in the Footsie.

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New CEO at Kingfisher

Kingfisher announced in a statement this morning that it had appointed Thierry Garnier as Chief Executive Officer, with the effective date of his appointment to be announced as soon as it is finalised. Garnier has spent 20 years in senior roles at Carrefour, and is currently a member of the French retailer’s Executive Committee and the Chief Executive Officer of Carrefour Asia.

“On behalf of the Board, I am delighted to welcome Thierry to Kingfisher. He is a highly talented international retailer and proven business leader, with a strong track record over many years at Carrefour,” Kingfisher’s Chairman Andy Cosslett commented in the statement.

The appointment comes as the DIY retailer continues to experience difficulties in France, having recently posted a 3.7-percent fall in like-for-like sales in the country in the quarter to April 30.

Analysts on DIY retailer

Credit Suisse, which is ‘neutral’ on the DIY retailer, lowered its target on the Kingfisher share price from 240p to 220p this week, while earlier this month, Royal Bank of Canada, which sees the company as an ‘underperform,’ trimmed its valuation on the shares from 220p to 215p. According to MarketBeat, the blue-chip group currently has a consensus ‘hold’ rating and an average price target of 238.13p.