Female CEOs lead their companies to success in the stock market, according to a new report by investment app Nemo.
The report compared the performance of three famous and successful female CEOs to that of competing companies led by men. The findings were presented on Tuesday, November 12, 2024.
Nemo analyzed the stock prices of these companies before and after the female CEOs took over, as well as their performance in the past year. The results show a significant difference between companies led by female CEOs and those led by men.
One of the CEOs studied was Mary Barra, who has been the CEO of General Motors since 2014. Nemo’s research in September revealed that the company’s stock had increased by 50.51% since Barra took over. This is a significant increase from the stock price of $29.68 when she started.
In comparison, Stellantis, led by Carlos Tavares since 2021, had a current stock price of $15.21, less than half of General Motors’ stock price. The stock was priced at $13.05 when Tavares started, showing an increase of only 16.55%. Stellantis has also seen a decline of 20.07% in the past year.
Another competitor in the automobile industry, Ford Motor Company, has seen a stock increase of 83.01% since Jim Farley took over as CEO in 2020. However, the stock has fallen by 14.88% this year.
In the semiconductor industry, Advanced Micro Devices has seen a significant increase in stock price of 4980% since Lisa Su became CEO in 2014. The stock is currently priced at $149.86, up from $2.95 when Su started.
On the other hand, Intel Corporation has seen a decline in stock price of 65.43% since Patrick Gelsinger took over as CEO in 2021. The stock is currently priced at $19.64, down from $56.82 when Gelsinger started.
NVIDIA, a leading semiconductor company, has seen a massive increase in stock price of 874.17% under the leadership of founder and CEO Jensen Huang. The stock was priced at $12 when the company went public, and is currently worth $116.90.
In the consultancy industry, Accenture, led by Julie Sweet since 2019, has seen a 92.96% increase in stock price, with the current price at $350.87 from $181.84 when Sweet started.
Cognizant Technology Solutions, led by Ravi Kumar S since 2023, has seen a 23.96% increase in stock price, currently priced at $77.10 from $62.20 when Kumar started.
Marsh & McLennan, led by John Q. Doyle since 2023, has seen a 41.93% increase in stock price, currently priced at $229.74 from $161.86 when Doyle started.
Nemo’s Executive Vice President, Nicholas Scott, commented on the findings, stating, “We found it insightful to compare these three highly successful CEOs, Mary Barra, Lisa Su, and Julie Sweet, to the CEOs of some of their companies’ main competitors. General Motors, Advanced Micro Devices, and Accenture are all outperforming a number of their competitors led by men.”
Scott also noted the common factor among these female CEOs, stating, “One thing Barra, Su, and Sweet all have in common is that they all have a long history with their companies, giving them in-depth operational knowledge that might give them an advantage.”
Nemo, a mobile investment platform, offers a unique investment experience for younger and first-time investors. The app curates equities and other assets into innovative groupings that reflect contemporary interests, ideas, and trends. It is currently being launched in the UAE and will expand to other markets in 2023.
The report serves as a reminder of the impact that female leaders can have on the success of their companies and their performance in the stock market.
Derick is an experienced reporter having held multiple senior roles for large publishers across Europe. Specialist subjects include small business and financial emerging markets.