Good Evening! On Monday, there was a small rise in stock prices as investors anticipated the release of earning reports from Apple & Amazon.
S&P 500, Dow Jones, and Nasdaq Composite all posted slight increases of 0.15%, 0.28%, and 0.21%, respectively.
BANKRUPTCY IS HAPPENING
According to a press release issued by the Teamsters Union, the trucking company Yellow (YELL) is ceasing its operations and initiating bankruptcy filing due to financial constraints and the impending strike.
The last attempt… Yellow made an effort to modernize its operations by implementing the “One Yellow” initiative, which it considered crucial for its long-term viability. The primary objective of the initiative was to consolidate its regional networks into a unified entity. However, the proposed changes encountered resistance from labor unions due to their impact on the hourly wage rate and job responsibilities of around 1,000 truck drivers.
Things did not go according to plan… In June, Yellow started legal proceedings against the Union, alleging they hindered the implementation of the restructuring efforts. Even though Yellow lost the case, the company successfully prevented the anticipated strike earlier this month.
ANOTHER MEME STOCK?
The stock price of Tupperware has experienced a significant increase in recent days. How much? Over the course of the past month, the shares have seen a massive gain of over 382%, while in the span of the last five days, shares have more than doubled in value. The stock experienced a further increase of 38% by the end of the trading day.
Where does this put the company with past performance? The company has not achieved the same level of success as the early meme stocks, and it is currently trading around $3. However, this represents a significant increase from its trading price of $0.80 in early July. However, year to date, the Tupperware stock has experienced a decline exceeding 20%.
But is it backed by anything? The decline in the company’s stock can be primarily attributed to an announcement made in April, in which the company disclosed significant liquidity challenges and expressed uncertainty regarding its ability to sustain its operations in the future.
On top of that… the company encountered the potential risk of delisting due to its failure to submit its annual report. The statement expressed its intention to achieve the objective by the end of May; however, it was unable to meet this timeframe. The company has currently stated its intention to submit the annual report no later than the end of August.