The CEO change was unexpected and prompted a stock selloff Friday, analysts said, but the new chief executive is prepared for the role.

Solomon Moshkevich has been appointed CEO of Natera, a leading provider of molecular residual disease testing, effective immediately.

The 15-year company veteran previously was president of clinical diagnostics and helped lead the development, clinical validation and commercial success of Natera’s cell-free DNA tests, the company said Thursday. Those include Panorama for prenatal screening, Prospera for assessing donor organ rejection risk, and the Signatera MRD test to detect cancer recurrence.

Moshkevich, who also joins the board of directors, replaces Steve Chapman. In the company’s statement, Chapman said it was the right time for a transition.

“Solomon has been deeply involved with every major decision the company has made, and has my full support,” said Chapman, who will become a consultant to the company “for an extended period” as well as an adviser to the board.

The Austin, Texas-based company also released third-quarter financial results that included a 34.1% year-over-year revenue increase, to $794 million. Its shares, however, tumbled nearly 14% to $312.98 by midday Friday on the Nasdaq.

Analysts pointed to the unexpected CEO transition as the reason for the stock drop.

TD Cowen analyst Dan Brennan said Chapman was known for overseeing an “extremely strong” and consistent performance at Natera during his more than seven years as CEO. “While the departure itself is a key event for the market to digest, the immediacy of the move further created some initial angst from investors,” Brennan said in a note to clients.

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