Wednesday afternoon, and the retail desk is treating fast-food executive shuffles like tech breakthroughs. The Wendy's Company ($WEN) is trading up +28.78% today simply because they hired a new CFO. Apparently, changing the person who signs the checks instantly creates over $300 million in market cap.
On the other side of the tape, reality is hitting Hertz ($HTZ). The stock is down -38.74% after announcing they are dumping $100M of new common stock and $300M in high-interest debt to keep the lights on.
Historically, buying catalyst-driven gap-ups of 20% or more has been an expensive hobby. Out of 4,898 similar historical setups, they closed red 62% of the time.
62% end in the red. That's the post.