Aeropostale Up 9% On Guidance, CEO Change
Aeropostale (NYSE: ARO) shares are shooting higher after the company boosted its second quarter guidance and announced a management change.
Comparable second quarter EPS estimates were boosted from a $0.61 to $0.55 loss to a $0.42 to $0.45 loss. The midpoint of the new estimate is 25 percent higher than the Wall Street consensus of negative $0.58.
Aeropostale also announced Julian Geiger would take over as CEO, replacing Thomas Johnson. Geiger has served as director of the board since May 23. Johnson has completed almost a four-year term as CEO.
"The opportunity for sales and profit growth; the ability to reinforce the company's special culture; and the chance to work closely with, and influence, the management team and the field organization combine to create a compelling and dynamic challenge,” Geiger said.
Shares of Aeropostale were last trading 8.6 percent higher at $3.52 during the after hours session.
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