Opinion: ‘Steve Jobs Syndrome’ strikes as Disney brings back Bob Iger, but history says that’s a bad idea

January 11, 2023

Wall Street was effusive in its praise of the move, with Disney shares surging nearly 6% on Monday after the news was announced. The MIT study concluded that boomerang CEOs actually are not always the saviors that Wall Street is hoping for. “Boomerang CEOs indeed performed significantly worse than other types of CEOs,” was the conclusion. The authors compared data on 167 boomerang CEOs from 1992 to 2012 from the S&P Composite 1500 Index, and compared their tenures with 6,000 other non-boomerang CEOs. “On average, the annual stock performance of companies led by boomerang CEOs was 10.1% lower than their first-stint counterparts.