Edgar Online Inc. Stock Surges 120 Percent Amid Expanding Content and Uncertainty

Strategic Insights -

Edgar Online Inc.'s stock skyrocketed 120 percent from its May introduction price of $9.50, leaving company executives puzzled about the reason behind the surge. The sudden increase occurred after Edgar announced plans to expand its content to include real-estate lease information, building on its existing service of providing corporate reports online. The company, which sold 3.6 million shares in May, valued at 31 percent of its total shares, hinted that favorable analyst reports could be behind the price rise.

Key Takeaways:

  • Edgar Online Inc.'s stock price increased by 120 percent from its May introduction price of $9.50.
  • The company announced plans to expand its content to include real-estate lease information.
  • Edgar already provides corporate reports online and sold 3.6 million shares in May, accounting for 31 percent of the company's total shares.
  • The company has 115,000 registered users and 7,500 paying subscribers as of March 31.
  • Edgar reportedly saw $2 million in revenue in 1998.
  • The company's stock was at $19.0625 on Tuesday afternoon, with a net percentage change of 94.89 percent on share trading volume of 5,787,800.
  • Edgar's president, Tom Vos, stated that the company is not aware of any corporate developments that could explain the price rise.

Statistics:

  • 120 percent increase in stock price from May introduction price of $9.50
  • 3.6 million shares sold in May, accounting for 31 percent of the company's total shares
  • 115,000 registered users and 7,500 paying subscribers as of March 31
  • $2 million in revenue in 1998
  • Stock price at $19.0625 on Tuesday afternoon, with net percentage change of 94.89 percent
  • Share trading volume of 5,787,800

Sources:

  • Newsbytes (19990706)
  • Edgar Online Inc. (NASDAQ: EDGR)
  • Reuters (exact reference not available)