Yesterday, the company SmallDirectClub (NASDAQ:SDC) saw its stock go through a pretty sharp correction after having rallied strongly in the preceding days. It ended the day with a decline of as much as 8%, however, at the same time, it ought to be noted that the stock is still up by 5% over the past week.
If one takes a longer term look at the stock then it is clear to see that SmallDirectClub has performed poorly in the past 12 months and has recorded losses of around 83%. Hence, it may be a good time to delve a bit deeper into it.
Trading Data
On Thursday, SDC stock fell 8.05% to $2.17 with 13.84 million share, compared to its average volume of 10 million shares. The stock has moved within a range of $2.1300 – 2.5900 after opening trade at $2.42.
Major Trigger
The remarkable fall in the share price over the past months had not been brought about by any kind of negative reaction from the market. In fact, it could be said that the selloff in the SmallDirectClub stock was perhaps deserved.
The company had consistently failed to execute its business plans although the environment had in fact been perfect for it to generate growth. Poor performances and on top of that disappointing projections have both resulted in the situation with the SmallDirectClub stock. It now remains to be seen if the company can engineer a turnaround.
Technical Data
SDC stock is trading below the 50-Day and 200-Day Moving averages of $2.26 and $2.66 respectively. Moreover, the stock is trading below the 20-Day moving average of $5.96.
