GoPro Spikes On Conference Drop-Out Rumor
Shares of GoPro Inc (NASDAQ: GPRO) spiked up early Wednesday afternoon on heavy volume as rumors circulated the company canceled its appearance at a scheduled Goldman Sachs conference.
$GPRO Cancels out of GS conf today chatter
— Open Outcrier (@OpenOutcrier) February 10, 2016
Despite a brief surge, shares of GoPro continued trading in negative territory as the rumor has not been confirmed by the company or the conference organizers.
When a company withdraws its appearance at a scheduled conference, investors and traders could jump to the conclusion that it is entering a "quiet period" ahead of a major M&A announcement. This theory may be validated by the fact that Vanguard Group reported a 5.1 percent passive stake in the company earlier in the morning.
On the other hand, a company can cancel an appearance due to a simple scheduling conflict.
Shares traded recently at $11.17, down 1.9 percent on the day.
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