An analyst for Jefferies and Co. said Tuesday that the departure of Cerner Corp.'s president is a significant loss that could hurt the medical software maker's international business.
THE SPARK: In April, Cerner said Trace Devanny would move to the U.K. to help lead the company's international expansion and boost its growth. But on Tuesday, the company said Devanny will leave on Friday to pursue other business opportunities. Chairman and CEO Neal Patterson will take over as president.
THE OPINION: Jefferies analyst Richard Close said Devanny has been very involved with Cerner's efforts to expand its overseas business.
Close said Cerner has several experienced executives and general managers who will provide stability. Their efforts will be needed if Cerner is to maintain its revenue growth beyond funding it is receiving as part of the U.S. economic stimulus package, according to the analyst.
THE STOCK: Cerner stock slid $1.03 to $79.28 in afternoon trading.