Sanford’s Sacconaghi Says ‘No One Can Fill Steve’s Shoes’

Toni Sacconaghi, an analyst at Sanford C. Bernstein & Co. in New York, comments on the resignation of Steve Jobs as chief executive officer of Apple Inc. (AAPL) Sacconaghi spoke on Bloomberg Television.

Apple shares fell as much as 7 percent in extended trading in the U.S. yesterday.

On the drop in share price:

“I don’t think it’s a reflection of Tim Cook or a reflection of uncertainty about the company being able to continue to execute well.

“Tim Cook has been acting CEO twice, both times that Steve Jobs has been on leave. In both periods, the company has executed flawlessly. Share prices in both instances have significantly outperformed including this year’s outperformance by about 20 percent since Steve Jobs went on leave.

“So I don’t think there’s a lack of confidence in the succession plan. People widely expected, almost universally expected, Tim Cook to become CEO when this would happen. It is recognition of how iconic Steve Jobs is.

“Even though he has a great successor, there’s an implicit acknowledgement that no one can fill Steve’s shoes.”

On the timing of the resignation:

“Certainly within the investment community, Steve Jobs not returning to Apple in a full-time operating capacity was largely expected.”

Editors: Subramaniam Sharma

To contact the reporter on this story: Naoko Fujimura in Tokyo at nfujimura@bloomberg.net; John Dawson in Hong Kong at jrdawson@bloomberg.net

To contact the editor responsible for this story: Young-Sam Cho at ycho2@bloomberg.net

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