Goldman Sachs Expects Little Stock Reaction To JAH Exec Change
January 06, 2011 10:03 AM
Jarden Corporation (NYSE: JAH) announced that it will split its Chairman and CEO roles in May 2011, Goldman Sachs reports. Martin Franklin currently has both roles and will transition to be solely the Executive Chairman. Jim Lillie will be elevated to CEO from COO.
“The Office of the Chairman structure (which also includes CFO Ian Ashken) will remain unchanged,” Goldman Sachs writes. “Jarden also announced that it expects 2011 organic sales growth of 3-5%, at least 50 bp of gross margin improvement, and at least 10% EPS growth.”
Goldman Sachs expects limited stock reaction to this news. “Our estimates and price target are unchanged,” Goldman Sachs adds. “Consensus forecasts are also unlikely to move materially.”
Jarden Corporation closed Wednesday at $31.51.
