Most of the time, the CEO has to answer for a company's cratering stock price. Investors clamor for accountability when things go bad, and typically a stock's decline is the direct result of a deteriorating business. Dropping share prices should usually be commensurate with aforementioned fundamental deterioration, if there is any. That's not always the case, though.
Back in 2011, when Netflix (NASDAQ: NFLX ) cratered from $300 to $60 over the span of four months, investors called for Reed Hastings' head. Much of that drop was tied to the Qwikster debacle and associated 60% subscription price hike, but shares have recovered since then. Hastings has regained investor confidence primarily by focusing where it matters: domestic paid streaming subscribers were up 26% and international paid streaming subscribers soared 238% last year. It's all water under the bridge now.
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