One of America’s richest Black CEOs suffers $28.9 million loss from Eaton stake

Key Points

• Craig Arnold’s stake has declined by $28.90 million in the past 38 days, reflecting a 12.52% slump in Eaton’s stock on NYSE.
• Eaton shares have declined 17.46% year-to-date, reducing its market capitalization below $110 billion and leading to significant losses for shareholders. 
• Eaton is set to acquire Fibrebond in Q3 2025, strengthening its power management leadership and positioning the company for long-term growth in a digital world.

Craig Arnold, one of America’s wealthiest Black CEOs, has seen a sharp decline in the market value of his Eaton Corporation shareholding following a significant drop in the company’s stock on the New York Stock Exchange (NYSE). 

As chairman, president, and CEO of Eaton, Craig Arnold holds a 0.14 percent stake in the American-Irish multinational, amounting to 737,044 shares. Over the past 38 days, the value of his stake has fallen by $28.9 million, as investors continue to scale back their exposure to the power management company amid broader market pressures.

This latest decline compounds an earlier $44.86 million loss recorded between Jan. 22 and Feb. 14, when the value of his stake dropped from $273.61 million to $228.75 million. The combined losses highlight the volatility in Eaton’s stock, despite the company’s ongoing expansion efforts, including its planned acquisition of Fibrebond to bolster its presence in the data center and industrial markets.

Strategic expansion through Fibrebond acquisition

Under Arnold’s leadership, Eaton Corporation, a global provider of energy-efficient solutions operating in more than 175 countries, has delivered strong returns for shareholders. Looking ahead to 2025, the company remains confident about its growth in power management markets.

Eaton, the intelligent power management company, is set to acquire Fibrebond to strengthen its presence in the data center and industrial markets. The deal, expected to close in Q3 2025 pending regulatory approval, is projected to contribute $110 million in adjusted EBITDA and $378 million in revenue for 2025.

This acquisition reinforces Eaton’s leadership in power management and positions the company for long-term growth in an increasingly digital world.

Eaton’s stock down 12.52%, impacting investors

Despite this strategic expansion, Eaton’s stock has declined 12.52 percent over the past 38 days, falling from $313.12 on Feb. 18 to $273.91. This downturn has pushed its market capitalization below the $110 billion mark and led to significant losses for shareholders, including CEO Craig Arnold. 

As a result of Eaton’s stock slump, the market value of Craig Arnold’s stake has declined by $28.9 million, falling from $230.78 million on Feb. 18 to $201.88 million. The drop reflects ongoing investor caution and broader market pressures affecting the power management company. Despite the recent decline, Arnold remains one of the richest investors on the NYSE.

Your money and your life

Eaton shares have fallen 17.46 percent since the start of the year. A $100,000 investment in Eaton at the beginning of 2025 would now be worth $82,540, reflecting a $17,460 loss.