Fresh2 Group (NASDAQ:FRES) stock is heading higher on Tuesday alongside heavy pre-market trading of the biotechnology company’s shares.
This has more than 5.6 million shares of FRES stock changing hands as of this writing. That’s a massive surge in trading volume compared to the company’s shares average of about 96,000 shares.
Investors will note this movement comes without any news from Fresh2 Group. That includes a lack of press releases or filings. There’s also no analyst coverage, which would cause shares of FRES stock to rally this morning.
One piece of news worth keeping in mind is a delisting notice. The company was sent one late in May due to its late Form 10-Q filing. It was given 60 days to submit a plan to regain compliance.
Traders will also take note that FRES is a penny stock. This comes from its low daily average trading volume, a prior closing price of just 36 cents and its market capitalization of only about $8.708 million.
Why That Matters to FRES Stock
Being a penny stock can sometimes bring with it volatility. This often happens when certain types of traders take an interest in a stock and decide to pump and dump the shares.
It’s possible this is what’s happening with FRES stock this morning. If that’s the case, investors will want to be wary about taking a stake in the stock right now.
FRES stock is up 30.8% as of Tuesday morning but was down 50% year-to-date when markets closed yesterday.
Investors will want to keep reading for more of the most recent stock market news!
We have all of the hottest happenings worth reading about on Tuesday! Among that is what has shares of MicroAlgo (NASDAQ:MLGO) stock up, the biggest pre-market movers this morning and more. All of this info is ready at the following links!
More Stock Market News for Tuesday
- Why Is MicroAlgo (MLGO) Stock Up 162% Today?
- Today’s Biggest Pre-Market Stock Movers: 10 Top Gainers and Losers on Tuesday
- Trade of the Day: The Faraday Future (FFIE) Stock Chart Warns of Big Trouble Ahead
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 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.
