One more chance to exit?
PG&E Corporation (PCG) stock has risen more than 10% today. It soared from close to ~$5.0 to more than $8.0 in the last three trading sessions. This same week, the company disclosed its plans to file for bankruptcy, followed by many brokerage houses significantly trimming its stock price targets. Ratings agencies downgraded its debt.
Even though PG&E stock has shown a notable surge recently, it continues to look immensely risky. Its implied volatility, an indicator of investor anxiety, is close to ~170% this week against broader utilities’ (XLU) ~18% average. Short covering could be an important factor in the stock’s surge.
However, PG&E had already gone bankrupt in 2001. The stock rose more than 500% over the next six years.
RBC cut PCG’s price target from $45.0 to $8.0 today. UBS also cut its price target from $29.0 to $8.0 on January 17.
PG&E stock continues to see huge increases in its volumes. On January 17, more than ~205 million shares changed hands, versus its three-month average volume of ~20 million.
BlueMountain challenged PG&E’s bankruptcy
On January 17, PG&E shareholder BlueMountain Capital challenged its bankruptcy plans. BlueMountain said in a letter addressed to the PG&E board that PG&E is solvent and has ample liquidity to manage its operations while its liabilities remain uncertain and contestable.
In the morning trading session at around 11:00 AM ET today, Canopy Growth (WEED)(CGC) was off to a positive start with the stock rising nearly 3.7%.
Monster Beverage (MNST) stock was down 1.6% as of 2:47 PM EDT on March 20.
Earlier today, the second-largest US automaker by 2018 sales volume, Ford Motor Company (F), revealed its plan to invest $850 million in its Flat Rock assembly plant through 2023.
Mizuho downgraded Yum! Brands (YUM) from “neutral” to “underperform” while keeping its 12-month price unchanged at $84, which represents a fall of 15.4% from its March 19 closing price of $99.20.
According to Verizon, its mobile 5G plans will cost $10 more than its current 4G plans.
As of March 19, Dunkin’ Brands (DNKN) was trading at $71.55, which represents a rise of 3.9% since the announcement of its fourth-quarter earnings on February 7.
Suncor Energy's shareholder returns have grown consistently over the past few years. The company hasn't forgotten its commitment to growth.