Why Lovesac Plunged 20% in May
Shares of Lovesac (NASDAQ: LOVE) tumbled 20.6% in May, according to data provided by S&P Global Market Intelligence, on no specific company news, but rather likely on indications of a worsening economy.
Rampant inflation, rising gas prices, and a housing market that appears to be sputtering seems to have dented Lovesac's share price along with other former growth stocks that have been in a tailspin for some time. A lack of available funds and fewer new home sales would take the prospects of rebounding much further out.
Existing home sales were down over 2% in April (the most recent data available), while single-family home starts were down more than 7% for the month.
Source Fool.com
