Why Qudian Inc. Stock Dropped Another 16% on Friday
Qudian Inc. (NYSE: QD) just cannot catch a break. After suffering share price declines for the better part of two weeks running, the Chinese online small consumer credit provider got hit with another decline Friday -- shares down 16.3% as of 10:30 a.m. EST -- after investment banker Macquarie cut its price target on the stock by one-third, citing tightening restrictions on Qudian's ability to earn a profit.
As TheFly.com tells us in a report this morning, financial firm Alipay provides "two-thirds of Qudian's loans facilitated," but Alipay has instructed Qudian and its peers to charge interest rates of no more than 24% on loans funded with monies from Alipay, effective at the end of this month.
Don't look now, but Qudian's stock price is "waning" again this morning. Image source: Getty Images.
Source: Fool.com
