Why Zoom Stock Was Up 6% on Thursday
Zoom (NASDAQ: ZM) shareholders saw a big spike in early trading on Thursday as the stock gained over 6% by 10 a.m., EST. Shares then fell back to a 2% increase by 1:45 p.m. compared to a 0.1% drop for the S&P 500. Zoom remains in deeply negative territory for the year, showing a 58% decline so far.
Thursday's early rally came as investors continue to disagree about the video communications specialist's growth potential.
Zoom's early price jump appeared to be a continuation from yesterday's rally. The stock rose along with the wider market on Wednesday. Many tech stocks have been pushed far lower during the recent market downturn on fears of a recession developing in 2023. Wall Street turned more optimistic in recent days, and Zoom's battered shares benefited disproportionately from this improving short-term outlook.
Source Fool.com
