22.1 C
New York
Monday, May 27, 2024
HomeMarkets
Markets

SAExploration Soars Following Morgan Stanley Investment

By Insider Scoop
0
40
psw-placeholder
psw-placeholder

Courtesy of Benzinga.

SAExploration Soars Following Morgan Stanley Investment

SAExploration Holdings Inc (NASDAQ: SAEX) is the latest example of the powerful market combination of a low float and high trading volume.

Shares were trading higher by another 35 percent Friday after Morgan Stanley (NYSE: MS) revealed in a 13G filing Thursday it has raised its stake in SAExploration by more than 350 percent. The bullish news led to a huge spike in trading volume for low-float SAExploration and a major move in the stock on Friday.

Morgan Stanley’s latest filing suggests the bank is confident in the outlook for the Alaskan seismic exploration company. Morgan Stanley now holds 309,000 shares of SAExploration, a 9 percent ownership stake in the company.

Why It’s Important

A vote of confidence from a major Wall Street investment bank is always good news, and Morgan Stanley’s investment brought a lot of attention and trading volume to SAExploration Friday.

According to Yahoo Finance, SAExploration has only a 2.07 million-share float, which is extremely low for a stock making Wall Street headlines. A huge jump in trading volume Friday explains the extreme volatility. As of 11:58 a.m. EST Friday, SAExploration’s daily trading volume was already 11.1 million shares compared to its long-term average daily trading volume of just 734,000 shares.

What’s Next

Traders will be watching closely to see if SAExploration gives back some of this week’s float-driven gains after the Morgan Stanley spotlight fades. Of course, if Morgan Stanley continues building its position, the stock could be headed even higher.

The Bureau of Land Management website shows the status of SAExploration’s Alaskan seismic survey permit has been changed from “prepared and planning” to “paused” on Friday. The market seemingly ignored the status change in the wake of the Morgan Stanley news, but traders will also be watching for an update on the Alaskan permit situation and what it could mean for the company.

The stock traded at $5.26 per share at time of publication.

Related Links:

Q4 13F Roundup: How Buffett, Einhorn, Ackman And Others Adjusted Their Portfolios

Electra Meccanica’s Crazy Week Continues

Posted-In: Alaska Low Float Morgan StanleyNews Movers Trading Ideas Best of Benzinga

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments

Stay Connected

157,159FansLike
396,312FollowersFollow
2,300SubscribersSubscribe

Latest Articles

Load more

Note: The material presented in this commentary is provided for informational purposes only and is based upon information that is considered to be reliable. However, neither PSW Investments, LLC d/b/a PhilStockWorld (PSW) nor its affiliates warrant its completeness, accuracy or adequacy and it should not be relied upon as such. Neither PSW nor its affiliates are responsible for any errors or omissions or for results obtained from the use of this information. Past performance, including the tracking of virtual trades and portfolios for educational purposes, is not necessarily indicative of future results. Neither Phil, Optrader, or anyone related to PSW is a registered financial adviser and they may hold positions in the stocks mentioned, which may change at any time without notice. Do not buy or sell based on anything that is written here, the risk of loss in trading is great.

This material is not intended as an offer or solicitation for the purchase or sale of any security or other financial instrument. Securities or other financial instruments mentioned in this material are not suitable for all investors. Any opinions expressed herein are given in good faith, are subject to change without notice, and are only intended at the moment of their issue as conditions quickly change. The information contained herein does not constitute advice on the tax consequences of making any particular investment decision. This material does not take into account your particular investment objectives, financial situations or needs and is not intended as a recommendation to you of any particular securities, financial instruments or strategies. Before investing, you should consider whether it is suitable for your particular circumstances and, as necessary, seek professional advice.

Contact us: support@philstockworld.com

© Copyright - PSW, LLC.

2024
0
Would love your thoughts, please comment.x
()
x