How much are two industry veterans who aren’t household names worth? In the case of Finet Holdings (Nasdaq: FNHC), which offers e-commerce services for mortgage companies and helps home-buyers find mortgages online, they’re worth an impressive spike in your stock price.
Shares of Finet were up 49 percent, closing up 1-1/2 to 4-9/16 on Monday after the company announced that Gary Palmer had accepted the position as Finet’s CFO. Palmer had been the company’s “acting” CFO since December, and judging by the response on Wall Street he must be doing a bang-up job — the volume for Finet was nearly 11 million shares, or 10 times the average on Monday. Also on Monday, Finet announced that Michael Brown has been named senior vice president of special markets lending.
Maybe the personnel moves are really good news for Finet, or maybe something else was going behind the scenes on Monday. Either way, you have to wonder what would have happened if Finet had hired somebody that most of Wall Street is familiar with.