A Wall Street regulator is examining trading in Groupon Inc.
GRPN -0.45% that sent its stock price soaring hours before a favorable earnings
announcement Monday, according to a person familiar with the matter. The review by the Financial Industry
Regulatory Authority, or Finra, is at an early stage, the person told the Wall
St Journal.
It follows unusually heavy trading in shares of the online-coupon
company in the run-up to its release of strong financial results. Groupon
shares jumped 18.5% Monday from their close Friday; the company announced
first-quarter earnings after the close of trading Monday. The stock continued
to surge in after-hours trading Monday following the announcement. The results
beat analysts' expectations. Groupon reported an 89% increase in revenue from
the previous year.
The earnings report was preceded by high trading volumes
Monday, with more than 16 million Groupon shares changing hands. That is about
four times the average daily volume of just under four million shares for the
past 30 days, according to FactSet Research...
No comments:
Post a Comment