EXCO Resources Inc (NYSE: EXCO)
EXCO Resources was off to a relatively normal day in the market today. Since the opening bell, the stock has seen its fair share of both ups and downs, but all in all, it remained very close to the break even point. Nonetheless, minutes ago, that all changed as the stock started to make a run for the top before being halted. Below, we'll talk about what we're seeing, why, and what we'll be watching for with regard to XCO ahead.
What We're Seeing From XCO
As mentioned above, EXCO Resources was having a normal day in the market. Sure, the stock saw some upward and some downward movement, but all in all, nothing was quite worth writing home about. That is, until minutes ago when the stock spiked dramatically before being halted. At 2:35, the stock was halted at $0.74 per share after a gain of $0.15 per share or 25.87% thus far today.
Why The Stock Is Halted
Before we get into the details here, we need to give credit where credit is due. Our partners at Trade Ideas were the first to inform us of the halt on XCO. As soon as we received the alert, the CNA Finance team started digging to see why the stock was halted. We believe that we've found the answer. The spike and resulting halt is the result of reports that the company is nearing a deal to avoid bankruptcy.
At the moment, the news is very new, so there's not much by way of details. However, the scoop is that EXCO Resources is very close to a deal that will allow it to avoid filing for bankruptcy.
What We'll Be Watching For Ahead
Moving forward, the CNA Finance team will be watching XCO incredibly closely. In particular, we're working to learn more details about the potential deal the company is nearing with regard to the avoidance of bankruptcy. Nonetheless, we'll continue to watch 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!
[Image Courtesy of Pixabay]