It was not a particularly great day in the markets for Rise Gold Corp (OTCMKTS:RYES) investors as the stock suffered a significant selloff and ended up with a decline of as much as 7%. In case of such a sharp decline, it is often important for investors to figure out if the stock may actually make a recovery and in order to do that, it is important to get an idea about the company first before delving into the latest news.
Trading Data
On Friday, RYES stock slid 7.35% to $0.43 with 6K shares, compared to its average volume of 13K shares. The stock moved within a range of $0.4300 – 0.4300 after opening trade at $0.43.
About The Company
Rise Gold is classified as a mining company that is still at an exploration stage as far as its evolution is concerned. It had been incorporated in the state of Nevada.
The main asset that belongs to Rise Gold is the Idaho-Maryland Gold Mine, which had been a gold-producing mine in the past and is located in the Nevada County in the state of California in the United States.
Rise Gold Announces Amendment of Warrants
The company had actually been in the news this past Friday and that particular news had been responsible for the selloff that had been triggered in the stock. Rise Gold announced that it had put plans in place for the extension of the expiry dates by two years of as many as 6,308,310 common share purchase warrants. However, at the same time, it is necessary to keep in mind that a provision for an accelerated expiry is also going to be put in place.
However, it was clear the news was not welcomed at all by investors, and that led to the selloff in the stock on Friday. The warrants had been issued by Rise Gold from July 3, 2019, through to September 21, 2020. The expiry dates had been in the ranges of July 31, 2022, to September 21, 2022. Not a single of the share purchase warrants have yet been exercised by the holders yet.
The amendments made by the company came into effect back on June 18, 2022. At this point in time, it remains to be seen if the sentiments of the investors turn or not. It may be a good idea to keep an eye on the Rise Gold stock today.
Technical Data
RYES stock is trading below the 20-Day and 50-Day Moving averages of $0.44 and $0.49 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.46.
