Applied UV (NASDAQ:AUVI) stock is climbing higher on Friday after the company revealed plans to tackle alleged illegal short selling of AUVI shares.
According to a press release, Applied UV has brought in Herrick, Feinstein LLP to investigate possible illegal short selling of AUVI stock. This comes as it suspects naked short sellers may be having a negative impact on the stock.
Applied UV CEO Max Munn said the following in a statement:
“We are concerned that there may have been certain illegal activities with respect to the trading of our securities, which we cannot tolerate […] Accordingly, on behalf of the Company, we have engaged outside counsel to aggressively investigate these activities and take whatever steps that are appropriate to protect the Company and its shareholders.”
The Battle Against Illegal Short Sellers
It’s not just AUVI that’s gearing up to combat naked short sellers. Several other companies have also announced intentions to investigate potential illegal short selling. A couple names worth noting are Helbiz (NASDAQ:HLBZ) and Genius Group (NYSEMKT:GNS).
When these two companies announced plans to take on short sellers, both HLBZ stock and GNS stock took off. That’s why it’s not too surprising that shares of AUVI are rallying today alongside the company’s similar announcement.
With today’s news comes heavy trading of AUVI stock. Some 14 million shares are on the move as of this writing. To put that in perspective, the company’s daily average trading volume is only about 1 million shares.
AUVI stock is up 42.3% as of Friday morning.
Investors looking for all of the hottest stock market news today will want to keep reading!
We’ve got all of the latest stock news traders need to know about on Friday! A few examples include what’s happening with shares of Buzzfeed (NASDAQ:BZFD), GeneDx (NASDAQ:WGS) and ContraFect (NASDAQ:CFRX) stock. You can catch up on this news 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.