SECO - Why Is Secoo (SECO) Stock Down 16% Today?
2023-04-05 08:53:04 ET
InvestorPlace - Stock Market News, Stock Advice & Trading Tips
Secoo (NASDAQ: SECO ) stock is retreating on Wednesday after the Chinese products and services company saw a massive rally on Tuesday.
That rally resulted in shares of SECO stock climbing 143% higher when markets closed on Tuesday. Investors will keep in mind that there was no news to explain the massive surge in price yesterday.
However, traders did see an incredibly strong trading volume for SECO stock yesterday. That saw some 91.7 million shares change hands during normal trading hours. To put that number in perspective, the company’s daily average trading volume is closer to 3.3 million shares.
SECO Stock Movement on Wednesday
Considering yesterday’s incredible rally, it makes sense that shares of SECO stock would give up some of that ground today. However, it’s not due to heavy trading as around 865,000 shares have changed hands during pre-market trading today.
Another thing that investors will want to remember is that SECO is a penny stock. Even after yesterday’s rally, the company’s stock closed out trading at $1.46 per share. It also only has a market capitalization of around $10 million as of this writing.
This is important to note as penny stocks are often incredibly volatile. That’s due to the ease in which retail traders can buy and sell shares of this kind of stock.
SECO stock is down 15.8% during pre-market trading on Wednesday!
There’s more stock market news traders will want to know about below!
We’ve got all of the hottest stock market news worth knowing about on Wednesday. A few examples of that include why shares of 180 Life Sciences (NASDAQ: ATNF ) and Immunic (NASDAQ: IMUX ) are up, as well as the biggest pre-market stock movers this morning. We’ve got all of that news ready to go below!
More Wednesday Stock Market News
- Why Is 180 Life Sciences (ATNF) Stock Up 30% Today?
- Why Is Immunic (IMUX) Stock Up 23% Today?
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Wednesday
On Penny Stocks and Low-Volume Stocks: With only the rarest exceptions, InvestorPlace does not publish commentary about companies that have a market cap of less than $100 million or trade less than 100,000 shares each day. That’s because these “penny stocks” are frequently the playground for scam artists and market manipulators. If we ever do publish commentary on a low-volume stock that may be affected by our commentary, we demand that?InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read More: Penny Stocks — How to Profit Without Getting Scammed
On the date of publication, William White did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines .
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