Based on early morning trading Tuesday, the jury is still out on the appointment of Nadir Mohamed as Rogers Communications Inc.'s (NYSE:RCI) brand new CEO. But for UBS analyst Jeffrey Fan, their is no question the much anticipated promotion of Mr. Mohamed should please investors.
"We believe this announcement will be positively received by the market," Mr. Fan said in a note to clients.
He maintained his "buy" rating and C$39 price target, adding the relationship between ownership and management remains the key following the passing of founder, Ted Rogers in December.
The analyst wrote:
"There are limited details yet on potential changes to other key managers, including Edward Rogers (Ted's son, and Chair of the family trust that controls the company). We believe it is important to fully understand the structure and dynamics of how ownership and management interrelates."