DryShips Inc. (NASDAQ: DRYS)
DryShips has been an incredibly interesting stock to watch as of late. Starting on Monday, and by pre-market on Wednesday, the stock had soared 1,500% when it was halted. Nonetheless, Thursday morning shares resumed, and the stock dropped dramatically from over $100 per share to just over $10 per share. Today, the stock is on yet another run. Below, we’ll talk about what we’re seeing in the market, why, and what we’ll be watching for with regard to DRYS ahead.
What We’re Seeing From DRYS
As mentioned abvoe, DryShips has been an interesting stock to watch this week to say the least. After dramatic gains early on, the stock was halted then dropped dramatically yesterday. Nonetheless, the stock is looking to push its way toward the top yet again. At the moment (10:22), DRYS is trading at $21.44 per sharea fter a gain of $10.44 per share or 94.91% thus far today.
Why We’re Seeing This Movement
In the beginning of the week, the fuel for the fire was a mix of news that the company was restructuring debt and the Baltic Dry Index was climbing. However, yesterday, the stock fell, as news of an offering really concerned investors with regard to dilution. Nonetheless, as mentioned above, DRYS is climbing again today, but why?
In my opinion, the climb can be attributed to a correction that recognizes the potential of the shipping industry moving forward. The reality is that after a concerning offering, we’re going to see declines. However, yesterday’s declines were overwhelmingly exaggerated, and, considering that the rest of the shipping industry continues to climb, there’s quite a bit of potential for DryShips ahead. As a result, the stock is climbing toward a more realistic rate.
What We’ll Be Watching For Ahead
While all stocks in the shipping sector are moving, there’s something special about DRYS. The volatility on the stock is creating opportunity after opportunity. Moving forward, we’ll be keeping a close eye on DRYS for any more surprise news. We’ll also be keeping an eye on the Baltic Dry Index and the moves Donald Trump makes with regard to trade agreements. These stories also have the ability to move the needle in a big way. As we dig the news up, we’ll bring it to you!
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[Image Courtesy of Pixabay]