The stock opened the day at $5.52, and by 11:30 a.m. had dropped to $4.05, a 26.6 percent plunge. Trading in the stock was also much heavier than usual Wednesday, with nearly 5.2 million shares having changed hands by 2 p.m., more than five times the average daily volume of 913,276 shares.
Krispy Kreme issued a news release saying it didn't know what was causing the unusual trading activity -- an unusual move for the company. Public companies tend not to comment on the trading activity in their stocks.
2-1 they go bankrupt.
After listing to a seminar from a guy from the finance dept. here at K-State, I am even more cynical about stocks. He basically said that insider trading happens all the time... and a bunch of people dropping stock means that the company is not doing good.