Verb Technology (NASDAQ:VERB) stock is falling on Tuesday but that’s only due to a major rally the shares underwent yesterday.
Shares of VERB stock closed out trading on Monday up 69.7%. That came alongside heavy trading as some 138 million shares of the stock changed hands during normal trading hours. For the record, the company’s daily average trading volume is about 4.5 million shares.
All of this activity came after Verb Technology announced plans to investigate the potential illegal short-selling of VERB stock. This has it joining several other companies that are looking to tackle naked short sellers.
Verb Technology still hasn’t revealed its exact plans for an investigation. However, the company is considering hiring forensic experts, as well as teaming up with other companies investigating suspicious short-sellers.
If Verb Technology is successful in its battle against alleged illegal short sellers, it could mean further gains for the company’s stock. However, the battle to prove illegal short-selling is happening may be a hard one to win.
No matter the case, the idea of an investigation into potential illegal short sellers excited investors yesterday. That’s why the stock rocketed higher, and also explains the 29.5% drop its seeing on Tuesday morning as that hype dies down.
Investors looking for all of the latest stock market news on Tuesday will want to keep reading!
InvestorPlace is ready to go today with all of the most recent stock market coverage! For Tuesday, that includes what’s happening with shares of Novo Integrated Sciences (NASDAQ:NVOS) and Axcella Health (NASDAQ:AXLA) stock, as well as this morning’s biggest pre-market stock movers. You can find all of that at the following links!
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.
The post Why Is Verb Technology (VERB) Stock Down 30% Today? appeared first on InvestorPlace.
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