OpenTable's Stock Falls $15 More in Wake of CEO Switch
OpenTable’s stock continued a free fall today, dropping $15.65, or roughly 14.9 percent, to trade at $89.35 a share.
Yesterday, Jeff Jordan, the company’s president and CEO, unexpectedly stepped down from his job at the online restaurant reservation leader. Boomtown’s Kara Swisher reported that he is likely to take a job at Andreessen Horowitz, a major venture capital firm in Silicon Valley.
Up until this week, the company’s stock was something of a Wall Street darling.
Over the past year, the stock jumped 322 percent, trading as high as $118.66 at its peak. Today, the shares fell to as little as $87.23 during the day. In the past two days alone, the stock has lost almost $24 a share.
OpenTable said the company’s CFO, Matthew Roberts, will be promoted to president and CEO and will join the board. At the same time, Jordan will become executive chairman. The transition will take place on June 1. Roberts will also fill the role of CFO until a replacement is found.
The sudden departure led analysts to voice concern over the urgency of the changes, including Roberts’s ability to manage three jobs at once. The company also reported first-quarter results today that were in line with expectations.