Cemtrex Inc (NASDAQ: CETX)
Cemtrex looked like it was going to have a relatively normal day in the market early on. When the opening bell rang, the stock was trading in the green, and throughout about the first 15 minutes, it stayed above the breakeven point. However, minutes ago, the stock started to take a dive. Below, we’ll talk about what we’re seeing from CETX, why, and what we’ll be watching for ahead.
What We’re Seeing From CETX
As mentioned above, Cemtrex seemed to be having a relatively normal start to the trading session today. At the opening bell, the stock was already trading slightly in the green. From there, we saw some upward and some downward movement, but nothing was worth writing home about. That is, until minutes ago when the stock started to spiral downward. Currently (9:53), CETX is trading at $4.71 per share after a loss of $0.41 per share (8.01%) thus far today.
Why The Stock Is Falling
As is almost always the case, our partners at Trade Ideas were the first to inform us of the losses on CETX. As soon as we received the alert, the CNA Finance team started digging to see exactly why the stock was falling. It didn’t take long to uncover the story. At the moment, it seems as though investors are spooked, as allegations have been waged against the company.
We found the allegations via social media, and regardless of which social network is your favorite, you should be able to find them too. All you’ll need to do is search for either “Cemtrex” or “CETX” and the posts should pop up. Unfortunately, any allegations of fraud tend to send stocks sliding out of control, as the allegation is generally the first step toward an investigation and a potentially massive headache for the company.
What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will be keeping a close eye on CETX. In particular, we’ll be digging deeper into the fraud allegations to see if there is any validity to them. We’ll also be watching the story as it unfolds and working to bring you any new developments as they break!
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