Freshpet (NASDAQ:FRPT) stock is rallying on Friday as traders look to news of an activist stake in the company as a potential positive.
Activist investor Jana Partners has taken a 9.6% stake in Freshpet with its acquisition of 4.5 million shares of FRPT stock. This investment was made on Sept. 12 and represents a total of $188 million.
With that large stake in the pet food company, traders wonder what the activist investor has planned. Jana Partners isn’t beating around the bush, saying it wants to improve financials to facilitate a sale of the business.
Freshpet’s Response to the News
Freshpet gave the following statement to Just Food when asked about its new investor:
We are aware of the news that Jana has made an investment in Freshpet. While we have not yet spoken to Jana, we welcome new investors in Freshpet and look forward to hearing their perspectives.
Today’s news has put extra attention on FRPT stock with some traders hoping to get in before a larger rally. This has shares of the company’s stock seeing heavy trading with some 2.2 million units moving. That’s already more than double the company’s daily average trading volume of roughly 1.1 million shares.
FRPT stock is up 1.3% as of Friday afternoon after seeing a larger rally this morning. Investors will note that the shares are down 51.7% since the start of the year.
Investors on the lookout for all the latest stock market news will want to stick around!
We’ve got all the latest trading news worth knowing about on Friday! A few examples of that include why shares of FuboTV (NYSE:FUBO) stock, Avenue Therapeutics (NASDAQ:ATXI) stock, and FedEx (NYSE:FDX) stock are moving today. You can read all of this news, and more, at the following links!
More Friday Stock Market News
- Why Is FuboTV (FUBO) Stock Climbing Higher Today?
- What Is Going on With Avenue Therapeutics (ATXI) Stock Today?
- FedEx (FDX) Stock Drops Following Q1 Earnings Release
On the date of publication, William White did not have (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.