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It had been widely reported that Uber CEO Travis Kalanick would take a leave of absence in the wake of sexual harassment allegations and a series of recommendations in a report from former U.S. Attorney General Eric Holder. Even with this understood, this morning’s report that Kalanick will be leaving the company he co-founded permanently came as something of a shock.
Yet the more one thinks about it, the better — and faster — this will likely turn out for Uber. The ride-sharing leader is seeing its gap ahead of competition shrinking, from companies like Lyft. This wouldn’t have been as likely to have happened if Uber had gone public a year ago; a huge influx of new cash would have surely helped propel the company forward, and perhaps in additional markets around the world. But the cloud of controversy mired the company, and it remains a private entity to this day.
Several front office operators at Uber have stepped down in recent weeks, which may at first blush appear like the company is further engulfed in turmoil. Looked at another way, however, this is an excellent opportunity for the board to go shopping for professional executives. Installing a COO in the Sheryl Sandberg (from Facebook []) mold, for instance, might go a long way toward healing Uber’s many wounds.
Still, with the departure of the captain of the ship, this may take some doing. Uber co-founder and current Chairman Garrett Camp would appear to be the most likely candidate to fill the role, but the contagion surrounding Kalanick’s difficulties had ought to be thoroughly sifted through first, lest Uber find itself in the very same position a year or so from now. This is not to suggest anything but that the company’s board of directors must be careful as they look to fill myriad seats at the top floor of its business.
Two Earnings Beats
Existing on something of an island between earnings seasons, Carmax (KMX - Free Report) and Winnebago (WGO - Free Report) both beat estimates on their bottom lines ahead of the bell this morning. Carmax reported earnings of $1.13 per share on +8.2% comps year over year, whereas Winnebago came in 10 cents ahead of consensus estimates at 82 cents per year. These companies also happen to attain greater relevance in summer months; thus, the quarter just passed may indicate a more favorable turn in 2017 for the auto retailers.
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Uber CEO Travis Kalanick's Leave Of Absence
It had been widely reported that Uber CEO Travis Kalanick would take a leave of absence in the wake of sexual harassment allegations and a series of recommendations in a report from former U.S. Attorney General Eric Holder. Even with this understood, this morning’s report that Kalanick will be leaving the company he co-founded permanently came as something of a shock.
Yet the more one thinks about it, the better — and faster — this will likely turn out for Uber. The ride-sharing leader is seeing its gap ahead of competition shrinking, from companies like Lyft. This wouldn’t have been as likely to have happened if Uber had gone public a year ago; a huge influx of new cash would have surely helped propel the company forward, and perhaps in additional markets around the world. But the cloud of controversy mired the company, and it remains a private entity to this day.
Several front office operators at Uber have stepped down in recent weeks, which may at first blush appear like the company is further engulfed in turmoil. Looked at another way, however, this is an excellent opportunity for the board to go shopping for professional executives. Installing a COO in the Sheryl Sandberg (from Facebook []) mold, for instance, might go a long way toward healing Uber’s many wounds.
Still, with the departure of the captain of the ship, this may take some doing. Uber co-founder and current Chairman Garrett Camp would appear to be the most likely candidate to fill the role, but the contagion surrounding Kalanick’s difficulties had ought to be thoroughly sifted through first, lest Uber find itself in the very same position a year or so from now. This is not to suggest anything but that the company’s board of directors must be careful as they look to fill myriad seats at the top floor of its business.
Two Earnings Beats
Existing on something of an island between earnings seasons, Carmax (KMX - Free Report) and Winnebago (WGO - Free Report) both beat estimates on their bottom lines ahead of the bell this morning. Carmax reported earnings of $1.13 per share on +8.2% comps year over year, whereas Winnebago came in 10 cents ahead of consensus estimates at 82 cents per year. These companies also happen to attain greater relevance in summer months; thus, the quarter just passed may indicate a more favorable turn in 2017 for the auto retailers.