Tuesday Morning (TUEM) Stock Rockets 32% Amid Bankruptcy Talk

  • Tuesday Morning (TUEM) stock is rising alongside bankruptcy talk.
  • Heavy trading is now pushing shares of TUEM stock higher today.
  • The company already filed for bankruptcy once early on in the pandemic.
gavel on table with bankruptcy text representing TUEM stock.

Source: Room’s Studio / Shutterstock

Tuesday Morning (NASDAQ:TUEM) stock is soaring higher today as investors boost shares amid talk of a potential bankruptcy filing.

TUEM stock has had a rough time lately. Reports now claim the company is considering filing for bankruptcy protection. That, alongside the recent loss of its CFO and guidance cuts, has pulled shares lower these last few weeks.

However, it now looks like meme traders see all of this as a green light to invest in TUEM stock. As a result, shares are climbing today with heavy trading. Some 31 million shares are being traded as of this writing; the company’s daily average trading volume is closer to 1.9 million shares.

The idea of Tuesday Morning filing for bankruptcy has merit to it. The company already had to do so early on in the pandemic. Considering how long Covid-19 has stuck around, it makes sense for Tuesday Morning to still be struggling.

The current state of the economy is also adding fuel to the fire. Inflation continues to weigh on consumers, as do recession fears. These additional factors easily explain why the retail company could still be dealing with financial troubles.

Traders considering a stake in TUEM stock will want to be careful, however. Its low market capitalization of around $40 million and sub-$5 price makes it a penny stock. That means traders can easily manipulate the share price.

TUEM stock is up 32% as of this writing but down more than 70% since the start of the year.

Investors looking for more of the latest stock market news will want to keep reading!

We’ve got all of the hottest stock news traders need to know about for Tuesday! That includes why shares of Clover Health (NASDAQ:CLOV), Verona Pharma (NASDAQ:VRNA) and Lemonade (NYSE:LMND) stock are all in the news today. You can find out all about that at the following links!

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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.

Article printed from InvestorPlace Media, https://investorplace.com/2022/08/tuesday-morning-tuem-stock-rockets-32-amid-bankruptcy-talk/.

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