February 15, 2023

Bayer reaches an 8-month high as investors cheer the new CEO

The German company Bayer (BAYGn.DE) announced the appointment of Bill Anderson as its new CEO the day before, and shares of Bayer increased by as much as 5% in early Thursday trading to an eight-month high.

Following the announcement of the appointment around 15 minutes before the market closed on Wednesday, the stock increased by 6%.

However, some investors cashed out on Thursday morning. At 0845 GMT, the stock had increased 0.5% to 62.82 euros.

Following shareholder demand for an outsider replacement for Werner Baumann, who oversaw Bayer’s problematic acquisition of Monsanto, Anderson was named CEO in June.

Even after the rally, according to Juergen Molnar, capital market strategist at brokerage RoboMarkets, the stock still had a great deal of room to rise.

The shares have increased 30% since the year’s beginning, helping to counteract a decline that lasted more than five years due to the acquisition of Monsanto. When the deal was finished in June 2018, the shares were trading at about 100 euros.

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