Sezzle share price rockets 95% before being frozen. What’s going on?

Two children dressed as spacemen in white suits look on at the smoking wreckage of their tin foil covered carboard rocket in their backyard with one child pulling the other away from the crash site.Two children dressed as spacemen in white suits look on at the smoking wreckage of their tin foil covered carboard rocket in their backyard with one child pulling the other away from the crash site.

It’s been a crazy day – nay, week – for the Sezzle Inc (ASX: SZL) share price. The stock launched a whopping 95% to trade at 70.5 cents this afternoon before being placed in a trading halt.

Its intraday high of 79 cents – representing a near-120% gain – also marked a two-month high for the stock.

For context, the All Ordinaries Index (ASX: XAO) is up 0.3% right now and has traded relatively flat over the last three sessions.

So, what might be driving the ASX buy now, pay later (BNPL) share sky-high this week? Let’s take a look.

The Sezzle share price has leapt 135% this week

The Sezzle share price has well and truly picked itself up by the bootstraps after a poor start to the week.

It’s more than overcome the 13% tumble it recorded on Monday, launching 38% on Tuesday before rocketing into the freezer today.

The company has since announced its unexpected trading halt will precede a further announcement to the market. No further details are currently known.

Today’s incredible gains came despite the company maintaining its silence. In fact, the market hasn’t heard word from the company since it abandoned its planned merger with Zip Co Ltd (ASX: ZIP).

And while the BNPL favourite’s gains are comparatively extreme, it isn’t alone in the green. The Zip share price posted a 20% gain yesterday and is up another 19% today.

Though, not all ASX BNPL giants are enjoying a resurgence this week. Stock in Afterpay owner Block Inc (ASX: SQ2) is down 4% right now after slipping around 3% yesterday.

Impressively, the Sezzle share price is currently frozen more than 280% higher than the all-time low of 18.5 cents it inked less than two weeks ago.  

However, it’s still a long way off its previous highs. The stock has slumped 77% since the start of 2022. It’s also trading 94% lower than the all-time high it reached in mid-2020.

The post Sezzle share price rockets 95% before being frozen. What’s going on? appeared first on The Motley Fool Australia.

Should you invest $1,000 in Sezzle Inc right now?

Before you consider Sezzle Inc, you’ll want to hear this.

Motley Fool Investing expert Scott Phillips just revealed what he believes are the 5 best stocks for investors to buy right now… and Sezzle Inc wasn’t one of them.

The online investing service he’s run for over a decade, Motley Fool Share Advisor, has provided thousands of paying members with stock picks that have doubled, tripled or even more.* And right now, Scott thinks there are 5 stocks that are better buys.

See The 5 Stocks
*Returns as of July 7 2022

(function() {
function setButtonColorDefaults(param, property, defaultValue) {
if( !param || !param.includes(‘#’)) {
var button = document.getElementsByClassName(“pitch-snippet”)[0].getElementsByClassName(“pitch-button”)[0];
button.style[property] = defaultValue;
}
}

setButtonColorDefaults(“#43B02A”, ‘background’, ‘#5FA85D’);
setButtonColorDefaults(“#43B02A”, ‘border-color’, ‘#43A24A’);
setButtonColorDefaults(“#fff”, ‘color’, ‘#fff’);
})()

More reading

Motley Fool contributor Brooke Cooper has no position in any of the stocks mentioned. The Motley Fool Australia’s parent company Motley Fool Holdings Inc. has positions in and has recommended Block, Inc. and ZIPCOLTD FPO. The Motley Fool Australia has positions in and has recommended Block, Inc. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

from The Motley Fool Australia https://ift.tt/cEPN5IM

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s