Why Is CN Energy (CNEY) Stock Up 46% Today?


  • CN Energy (CNEY) stock is rising higher on Wednesday alongside heavy trading.
  • That’s despite a lack of news from the company.
  • This activity may be due to CNEY being a penny stock.
CNEY Stock - Why Is CN Energy (CNEY) Stock Up 46% Today?

Source: shutterstock.com/VictorN

CN Energy (NASDAQ:CNEY) stock is on the rise Wednesday as the manufacturer of wood-based activated carbon in China experiences heavy trading of its shares this morning.

That heavy trading has more than 11 million shares of CNEY stock changing hands as of this writing. That’s well above its daily average trading volume of about 227,000 shares. Also worth noting is CN Energy’s float of about 2.22 million shares.

Traders will keep in mind that this activity comes without any news from CN Energy. There are no new press releases or filings that explain why the stock is rallying today. The same holds true for analyst coverage of the shares.

Another thing that investors need to know about CN Energy is its penny stock status. That comes from its low prior closing price of $1.33 per share and its market capitalization of only about $6.2 million.

What That Means for CNEY Stock

Being a penny stock comes with certain disadvantages. Volatility is among them, as these stocks can see major jumps and drops without warning. This often happens as certain traders manipulate the price of the shares.

If that’s what is happening with CNEY stock today, then investors will want to be wary. It could mean that a fall will follow today’s rally — and no one wants to be stuck holding the bag.

CNEY stock is up 45.9% as of Wednesday morning.

There are more stock market stories worth diving into below!

We’re offering coverage of all the latest stock market news traders need to know about on Wednesday! Among that is what has shares of Greenbrook TMS (NASDAQ:GBNH) stock up today, the biggest pre-market stock movers this morning and more. You can catch up on all of these matters at the following links!

More Stock Market News for Wednesday

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 risks. 

Read More:Penny Stocks — How to Profit Without Getting Scammed

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.

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