NEW YORK (TheStreet) -- Francesca's Holdings (FRAN) shares are climbing, up 30.7% to $15.11 in trading on Friday on nearly 10 times its normal trading value, after the specialty women's fashion retailer announced that CEO Neill Davis had resigned and that his post would be filled by Michael Barnes.
Barnes, who was formerly the chief executive at Signet Jewlers, was also named chairman and president of the Houston, TX-based company which reported a 30% decline in its second quarterly profit when it last released its financial results.
Must Read: Warren Buffett's 25 Favorite Stocks
The 53 year old Barnes will replace the 57 year old Davis, who joined the company in January 2013, immediately ahead of the retailer's scheduled December 10 third quarter earnings results release.
"His ability to set and execute transformational strategic plans, along with his track record of creating value for shareholders, make him the right executive to capitalize fully on Francesca's solid growth platform," said former chairman and new lead director Greg Brenneman of the hire.
TheStreet Ratings team rates FRANCESCAS HOLDINGS CORP as a Hold with a ratings score of C-. TheStreet Ratings Team has this to say about their recommendation:
"We rate FRANCESCAS HOLDINGS CORP (FRAN) a HOLD. The primary factors that have impacted our rating are mixed - some indicating strength, some showing weaknesses, with little evidence to justify the expectation of either a positive or negative performance for this stock relative to most other stocks. The company's strengths can be seen in multiple areas, such as its revenue growth, largely solid financial position with reasonable debt levels by most measures and good cash flow from operations. However, as a counter to these strengths, we also find weaknesses including feeble growth in the company's earnings per share, deteriorating net income and a generally disappointing performance in the stock itself."