Why Bitauto Holdings Limited Stock Rose 24.8% in September
Shares of Bitauto Holdings Limited (NYSE: BITA) increased 24.8% in September, according to data from S&P Global Market Intelligence, due to ratings upgrades and momentum for the company's transaction services platform.
Bitauto operates an online platform for car sellers to display their wares and has also branched into the transaction services space with its Yixin subsidiary. With a roughly $3 billion market cap and roughly 10% of its shares sold short, Bitauto's stock is positioned for volatile swings and can post big movement on sometimes minor news.
Ratings upgrades likely played a substantial role in the stock's September gains. CLSA initiated a "buy" rating on the stock on September 1, BidaskClub upgraded the stock from a "hold" to a "buy" in a September 8 note, and Zacks Investment Research upgraded its rating on Bitauto from "sell" to "hold" on September 15. Shares popped roughly 9% on September 14 alone and now trade up roughly 160% on the year.
Source: Fool.com
