RumbleON CFO departure ‘adds to speculative risk profile,’ says Baird

Commenting on RumbleOn CFO Blake Lawson’s resignation, Baird notes that he will depart the company after the annual shareholders meeting on June 4th but no further details were provided in the filing. The firm’s checks with powersports and marine dealers point to significant stress on dealers – especially as interest rates move higher. Baird considers the stock speculative – and the departure of the CFO adds to the speculative risk profile. The uncertainty also adds to the anxiety around OEM partners, given recent challenges among powersports and marine dealers. That said, the firm connected with RumbleOn on Monday and was told the CFO departure was a personal decision based on family considerations and that the CFO felt “good” about RumbleOn upon his departure. Baird has an Outperform rating on the shares with a price target of $10.