Last May, Tim Stone joined the Snapchat after spending two decades with Amazon.com. He replaced Andrew Vollero. Stone became the second finance chief who left the Snapchat operator in a year and that is the reason that the app has been much criticized. As a result of that, the shares of Snap fell 9 percent in early trading on Wednesday after Tim resignation.
Snap Shares Fall 9% Because of Second CFO Exit in a Year
Some analysts have negatively discussed the Stone’s departure. They said that the loss of an experienced industry person would make it more difficult for the company to hire and retain top executives.
Summit Insights Group analyst Jonathan Kees wrote:
“We believe that (Stone’s) departure will be a big negative on the company and hamper its execution and ability to compete in the marketplace, “He added credibility to the senior management team which has been experienced light,”
According to Refinitiv data, that currently, the three Wall Street analysts recommend buying Snap, and 10 recommend selling, while rest of 24 have neutral ratings.
Furthermore, in the past year, Chief Strategy Officer Imran Khan and vice president of monetization engineering- Stuart Bowers have also left the company. Snap’s vice president of investor relations, Kristin Southey, also left the company in late November. However, Snap didn’t utter a word about this issue yet.