Adamas Pharmaceuticals Inc (NASDAQ: ADMS) is having an interesting start to the trading session this morning as rumors break surrounding the company. According to various rumors a takeover could take place any time now, leading to a spike in the value of the stock. Today, we’ll talk about the rumors, how the stock is reacting, and what we’ll be watching for with regard to ADMS ahead.
Rumors Break Surrounding ADMS
As mentioned above, Adamas Pharmaceuticals is spiking in the market this morning. Upon searching, we couldn’t find any news released by the company. However, we do believe that we found the source of the gains. On message boards all around the web, we’re starting to see rumors that the company may soon be taken over. Unfortunately however, the rumors are proving to be overwhelmingly vague. While there are suggestions that the company may be taken over, there is no information on who may be interested in taking the company over, nor at what price.
With that said, any time we see rumors like these in the market, we feel a warning is due. The reality is that this isn’t the first rumor and won’t be the last with regard to a potential takeover of a stock. In fact, rumors are the most common form of market manipulation today. In this particular, case, because the rumor is overwhelmingly vague and we cannot track down a source, we don’t believe that a takeover is actually going to take place. So, if you plan on trading based on this rumor, please be sure to do so with caution.
What We’re Seeing From ADMS
In general, when takeover rumors break, we tend to see a reaction in the market. That’s exactly what we’re seeing from ADMS today. With the rumors in mind, investors are pushing the stock to the top. Of course, our partners at Trade Ideas were the first to alert us to the gains. At the moment (9:49), ADMS is trading at $27.32 per share after a gain of $0.32 per share or 1.19% thus far today.
Stop wasting your time! Start finding winning trades in minutes with Trade Ideas!
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on ADMS. In particular, we’re interested in following the rumors and seeing if there is any validity to the story here. While we don’t believe that a takeover will happen, anything can happen in the market. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
Never Miss The News Again
Do you want real-time, actionable news delivered to your inbox? Join the CNA Finance mailing list below!