What happens to share price when CFO resigns?

Midas' CFO has resigned abruptly on Thursday last week. He quoted "personal reasons". As such, Lim and Tan has stopped coverage of the company, citing "resignations of CFOs have traditionally not bode well for its share."

I did some research on companies whose CFOs have resigned. Idox Plc (IDOX), a U.K. supplier of software services to government agencies, fell 8.1%, after its chief financial officer resigned just 2 weeks ago.

Likewise, shares of MTN Group took a beating last month after its CFO resigned amidst unspecified allegations.

Closer to home, when Olam's CFO resigned in June last year, its shares fell 5.4% before recovering later. Now, however, it is trading lower than during last June.

However, Microsoft's CFO resignation in April did not impact its share price. This was after it reported results that beat expectations.

OCBC maintained its "Buy" rating on Midas. This was due to 1) reassurance from management and 2) expected contract wins in HSR from China later this year. The first reason, I am skeptical, because that is standard, politically correct reply. The second reason, I am more accepting.

Nonetheless, I want to be very careful. As I am not fully assured that it is not hiding things in the closet, I am bailing out from this stock as of immediate effect. Thanks, Midas, it has been a rewarding ride.