The turnaround tour

Earnings season is here, and with it comes a batch of newly minted CEOs trying to turn their companies around. Let's take a look at three fresh faces in the C-suite and how each one is trying to kick off a comeback.

CVS

The pharmacy chain operator beat Q4 expectations on revenue and profit as CEO David Joyner, who took over in late 2024, accelerates a turnaround focused on cost-cutting, leadership changes, and trimming weaker businesses.

Some of the fixes are already showing up in earnings. Oak Street Health, the company’s primary-care clinic business, is on track to be more profitable this year after it closed 16 underperforming sites, while CVS’s retail pharmacy segment is benefiting from technology upgrades and the added footprint gained from Rite Aid’s bankruptcy. The insurance business remains a key growth engine, with revenue up more than 10% from a year ago.

Looking ahead, the company plans to leave the individual ACA market as potential policy shifts raise uncertainty around the exchange.

Shares remained flat today, a sign that the update read more like a progress check than a new catalyst for growth.

Kering

The luxury group saw comparable sales fall 3% in the fourth quarter, dragged down by Gucci, but it still beat analyst expectations. Kering closed out a bruising 2025, with sales down 10% and recurring operating income down 33%, pressured by the post-pandemic luxury cooldown, as steep price increases have thinned demand—especially in China, once a key growth engine.

Management is framing this as early innings as CEO Luca de Meo wraps up his first quarter on the job. He arrived from the auto world with a track record of turnarounds, most notably at Renault. His early playbook is about simplifying and de-risking: Kering is selling its beauty unit to L’Oréal for about $4.8 billion, a move intended to cut net debt and sharpen focus on the core fashion business.

The market seems to like the new direction, with the stock up 10.9% today.

Target

The retail conglomerate is also in reset mode under new CEO Michael Fiddelke, who took the helm this month. He takes over after four years of mostly flat annual revenue and a major cost cut last year that eliminated 1,800 corporate roles.

The cost-cutting push isn’t finished. Today, Target announced plans to eliminate roughly 500 roles, about 100 in district-level offices and 400 across supply-chain sites, redirecting savings toward more in-store staffing and expanded guest-experience training.

There’s also a leadership reset: Lisa Roath will become chief operating officer and Cara Sylvester will take over as chief merchandising officer, with both changes effective Feb. 15.

Whether it’s healthcare, handbags, or household essentials, the message is the same: 2026 is the year of the reset, and investors should watch to see who can actually deliver.—SY