Sudden changes at the top rung of a company can spook investor sentiment in a stock. Not surprisingly, shares of solar energy solutions provider Array Technologies (NASDAQ:ARRY) are plunging in the premarket session today after the company announced the departure of its CFO.
Shakeup at ARRY’s Top Rung
Array’s CFO, Kurt Wood, is leaving the company at the end of the second quarter. He is vacating his role to pursue other business interests. While Array did not divulge any other reason for Wood’s departure, investor sentiment in the stock is taking a hit today.
During his stint at Array, Wood drove improvements in the company’s control framework, structure, and monthly close process. Array is now scouting for a new candidate to replace Wood, who will serve as a consultant at the company until the end of September.
Notably, this isn’t the only change at Array’s top rung this month. Last week, the company named Neil Manning as its President and COO. Manning will oversee Array’s geographic expansion as well as its end-to-end profit and loss function in international operations.
What Is the Price Target for ARRY Stock?
These changes at Array come amid challenging times for the U.S. solar industry, which is facing tough competition from Chinese solar products. The not-so-promising business environment has resulted in a nearly 38% slump in Array’s share price over the past year. Overall, the Street has a Moderate Buy consensus rating on the stock, alongside an average ARRY price target of $19.42. For the company’s investors, this offers a glimmer of hope with a potential upside of nearly 38.8%.
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