Today’s Falling Knife: Shares In Domino’s Pizza Group PLC Get Sliced

Domino’s Pizza Group PLC (LON:DOM) CEO Lance Batchelor announces resignation.

Sam Robson

I've been a Fool for over a decade, and am proud to currently call myself the Editor in Chief of TMF UK. I follow Foolish investing principles, and buy shares in quality companies throughout both bull and bear markets!

Published 6 December, 2013 10:16 am GMT

| More on: DOM

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Although we don’t believe in timing the market or panicking over market movements, we do like to keep an eye on big changes — just in case they’re material to our investing thesis.

What: Shares in Domino’s Pizza (LSE: DOM) slid in early trade this morning, following the resignation of chief executive officer Lance Batchelor.

So what: Mr Batchelor has accepted a new role in “a significant private equity backed company”, according to Domino’s management, in a different market sector. Chairman Stephen Hemsley commented:

“We have begun the process to find a replacement for Lance who will be with us until 30^th April 2014 to help with an orderly handover to his successor. We will update the market on progress with that process in due course.”

Now what: Mr Batchelor joined Domino’s in December 2011, when the share price was hovering around 400p. He guided it to an all-time high of 708p at the end of May this year, and helped the company embrace online ordering technology that saw one in five orders made on a mobile device in 2012 — with full-year figures expected to show an increase in that number.

Investors will be keeping a close eye on who is chosen to fill the significant shoes of Mr Batchelor, and whether their credentials can carry on the good work left by the current CEO.