Birkenstock Holding PLC (NYSE:BIRK) has fetched renewed backing from CitiGroup analysts after announcing Ivica Krolo would become its chief financial officer.
Krolo would succeed Erik Massmann next month, the sandal maker said on Tuesday.
Though unexpected, Citi noted the transition had likely been in the works for a while.
“Massmann was brought in for the initial public offering and was key in building out Birkenstock's finance team,” analysts said.
“Krolo has the right experience and background in auditing/strategy and capital markets for the next stage of Birkenstock's growth.”
Birkenstock floated in New York in October 2023 and has since climbed over 60% to US$58.30 as of Wednesday.
Citi added that Krolo, who has served as chief financial officer at investment firm EMH Partners since 2015 and worked at PwC prior, had “a strong technical background”.
“We do not believe this announcement raises any red flags around current business performance and should be viewed positively," analysts wrote.
“It shows Birkenstock is finding its footing as a public company after many years as a family-owned private company.”
Both a ‘buy’ rating at US$65 share price target were reiterated.