That news was first announced by the company before markets opened on Friday. That resulted in its shares taking a roughly 65% beating in trading when combining both Friday and Monday’s movement. However, the stock is currently seeing a rally.
One thing investors will note is the lack of an update from Pear Therapeutics since then. Instead, it looks like we can turn to traders to explain why the company’s shares are on the rise today.
It appears that heavy trading of PEAR stock is behind today’s gains. As of this writing, more than 389,000 shares of the company’s stock have changed hands. That’s already above its daily average trading volume of about 253,000 shares.
Should You Invest In Pear Stock?
While that might make the company a tempting purchase, it could also be that this is a pump and dump. That wouldn’t be too surprising as volatility typically follows companies that make announcements about exploring “strategic alternatives.” This means any investment in PEAR stock is a risky one.
Analysts are of the same mind as several have downgraded the company’s shares since its announcement. That includes BTIG Research, Credit Suisse, and Chardan Capital all dropping the stock to a “neutral” rating from prior bullish ones.
PEAR stock is up 20.7% in pre-market trading on Tuesday!
There’s even more stock market news traders will want to know about below!
We’ve got all of the hottest stock news investors need to know about on Tuesday! Among that is why shares of Cerberus Cyber Sentinel (NASDAQ:CISO) stock are rising, the biggest pre-market stock movers this morning, and more. You can find all of that at the following links!
More Tuesday Stock Market News
- Why Is Cerberus Cyber Sentinel (CISO) Stock Up 170% Today?
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
- Is Warren Buffett Going to Save ALLY Stock?
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.