MingZhu Logistics (NASDAQ:YGMZ) stock is soaring higher on Monday despite a lack of news from the Chinese trucking company.
There are no new press releases or filings with the Securities and Exchange Commission (SEC) that explain why YGMZ shares are up today. On that same note, no analysts are offering new coverage of the company’s shares that would act as a reason for today’s rally.
However, that’s not stopping shares of YGMZ stock from seeing incredibly heavy trading on Monday. As of this writing, more than 5.2 million shares of the stock have changed hands. To put that number in perspective, the company’s daily average trading volume is about 151,000 shares.
One thing that traders will want to keep in mind about MingZhu Logistics is that its shares are in penny stock territory. That comes from its low prior closing price of 48 cents alongside its market capitalization of just $10.952 million.
Why That Matters for YGMZ Stock
Penny stocks are often volatile, and that’s doubly true outside of normal trading hours. That’s worth noting, considering the rally and heavy trading for YGMZ started during pre-market hours this morning.
Oftentimes, this type of movement comes from retail and day traders pumping up a stock. If that’s what’s happening with YGMZ shares, investors are likely to see the company give up today’s gains.
YGMZ stock is up 54.3% as of Monday morning.
Investors looking for even more of the most recent stock market stories are in the right place!
We’re covering all of the hottest stock market news worth reading about on Monday! That includes what’s going on with the biggest pre-market stock movers this morning, the latest news concerning Speaker of the House candidates and more. All of that news is ready to go at the links below!
More Monday Stock Market News
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Monday
- House Speaker Showdown: 2 Speaker of the House Candidates and Their Impact on Markets
- Forget Fox News: 3 Media Stocks to Buy as Election Coverage Heats Up
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 risk.
Read More: Penny Stocks — How to Profit Without Getting Scammed
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.
