Activist investors are disproportionately targeting female CEOs—and it’s costing corporate America dearly
Read Original Source
Good morning. When Victoria’s Secret reported stellar quarterly results last week, shares shot up 14% and likely gave Hillary Super some breathing room from the activist investors pushing the lingerie company to, among other things, consider whether the CEO of 16 months is up to the task of turning it around. Of course, the potential of having to deal with an activist investor’s campaign goes with the territory of being a CEO, especially at a company that has been struggling.
AI Summary
Main Idea: The article says Hillary Super at Victoria’s Secret is facing activist pressure, and argues that women CEOs are targeted more often than men, which may hurt companies by discouraging talent.
Key Points:
- Victoria’s Secret shares rose after strong quarterly results, which may ease some pressure on Hillary Super.
- A Conference Board report found women were 8% of Russell 3000 CEOs but 15% of activist campaigns aimed at CEOs.
- The pattern has lasted for years, and past research has also found women CEOs face a higher risk of shareholder activism.
- The article says bias and the “glass cliff” may be part of the reason, and that this could cost corporate America future leaders.
Impact on the People
Negative Impact
Bias against women CEOs may push boards to sideline strong leaders, which can hurt company performance, jobs, and investor returns.
Positive Impact
Greater scrutiny of struggling firms can pressure management to fix weak business results faster.
How did each entity affect people?
Rate how each entity in this article affected the American people.
No entity suggestions or linked entities saved yet.
Candidate Entities10 candidates · 5 weighted vote min · 70% decision
- Hillary SuperpersonMajorAI selected
Victoria’s Secret’s CEO is a central figure in the article’s discussion of activist targeting of women CEOs.
Include 0 (0%)Ignore 0 (0%)5 to threshold - President Donald TrumppersonMajorAI selectedInclude 0 (0%)Ignore 0 (0%)5 to threshold
- Victorias SecretcompanyMajorAI selected
Major company in the opening example of an activist-investor campaign against a female CEO.
Include 0 (0%)Ignore 0 (0%)5 to threshold - Cracker BarrelcompanyContextCandidate
Named as another company whose female CEO recently faced activist pressure.
Include 0 (0%)Ignore 0 (0%)5 to threshold - Julie MasinopersonContextCandidate
Cracker Barrel’s CEO mentioned as someone who survived an activist campaign.
Include 0 (0%)Ignore 0 (0%)5 to threshold - Kirsten LynchpersonContextCandidate
Vail Resorts’ CEO mentioned as someone who did not survive activist pressure.
Include 0 (0%)Ignore 0 (0%)5 to threshold - Vail ResortscompanyContextCandidate
Named as a company whose female CEO recently confronted activists.
Include 0 (0%)Ignore 0 (0%)5 to threshold - CEO Indra NooyipersonMinorCandidate
Former PepsiCo CEO cited as a prominent example of activist conflict involving a woman CEO.
Include 0 (0%)Ignore 0 (0%)5 to threshold
Comments 0
Comments here are the same thread shown when this article appears in The Pulse.
No comments on this article yet.
Sign in to comment