William Blair analyst Bhavan Suri says he's "surprised and concerned" that both the CEO and CFO of Mitek Systems announced their departures at the same time, "and in a rather abrupt manner." The analyst, however, is not convinced that there is anything "fundamentally awry with the business at this point," especially considering that Mitek has reaffirmed its full-year financial guidance. He's also comforted by the fact that the rest of the executive team are planning to stay with Mitek. Suri concludes that while last night's news leaves him more cautious on the stock given the near-term challenges associated with the management transition, he's not ready to downgrade the shares at this point given the strength of the ID verification business. As such, he keeps an Outperform rating on Mitek Systems.

Conference call to provide an overview of check fraud defender and demo with CEO Carnecchia and CFO Lyle to be held on May 1 at 1 pm hosted by Northland. Webcast Link