Why Conagra Stock Flopped Today
Rather unexpectedly, the leadership at the top of Conagra (NYSE: CAG) has changed. The veteran food company announced it had appointed a new CEO, replacing a man who had held the position for 11 years. Such a move reminded many investors that the company has been struggling and might be in for more pain, so they collectively traded out of the stock to leave it with a 4% slide on the day.
Before market open that morning, Conagra announced in a press release that it was replacing Sean Connolly as CEO with John Brase. The appointment will become effective on June 1. Connolly will vacate both his CEO role and his seat on the company's board of directors; Brase is to replace him as a board member, too.
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Source Fool.com
