Tuesday morning (TUEM) shares explode 32% amid bankruptcy talk

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Tuesday morning (NASDAQ:TUEM) stocks soar today as investors rise in stocks amid talk of a potential bankruptcy filing.

The TUEM stock has had a tough time lately. Reports now claim that the company is considering filing for bankruptcy protection. This, next to the recent loss of its CFO and reductions in forecastshas dragged stocks lower in recent weeks.

However, it now appears that meme traders are seeing all of this as a green light to invest in TUEM stocks. As a result, stocks are climbing today with intense trading. Some 31 million shares are traded to date; the company’s average daily trading volume is closer to 1.9 million shares.

The idea of ​​Tuesday Morning’s bankruptcy filing has merit. The company already had to do this at the start of the pandemic. Given the duration of Covid-19, it makes sense that Tuesday morning is still in trouble.

The current state of the economy is also adding fuel to the fire. Inflation continues to weigh on consumers, as do recession fears. These additional factors easily explain why the retail business might still face financial problems.

Traders considering a stake in TUEM shares will want to be cautious, however. Its low market capitalization of around $40 million and price below $5 make it a penny stock. This means that traders can easily manipulate the stock price.

TUEM stock is up 32% at the time of this writing, but down more than 70% since the start of the year.

Investors looking for the latest stock market news will want to keep reading!

We have all the hottest stock market news traders need to know for Tuesday! This understands why the shares of Clover Health (NASDAQ:CLOV), Verona Pharma (NASDAQ:RNAV) and Lemonade (NYSE:LMND) stocks are all in the headlines today. You can find out all about it at the following links!

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As of the date of publication, William White has not held (directly or indirectly) any position in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to InvestorPlace.com Publication guidelines.

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