BEST Inc (NYSE:BEST) Stock Continues to Fall: Down 15% Last Week
While stocks often rise without any news, the opposite is also true and one of the stocks to have declined in recent days without any news is that of the well known integrated smart supply chain solutions firm in Chine, BEST Inc (NYSE:BEST).
While there has been no news, the stock tanked by 7% on Friday and that took its decline to as much as 16% for the past week. In this situation, investors could do well to take a look at the company’s financial results for the quarter ended March 31, 2021. The results had been announced by the company back on June 8.
The company managed to generate revenues of RMB 6.5 billion in the first quarter and that reflected a year on year rise of as much 29.9%. While the rise in revenues was strong, it needs to be remembered that BEST also suffered a loss of RMB 604 million in the quarter.
However, the Chief Financial Officer of the company Gloria Fan stated that the reason for the loss lies in BEST’s decision to launch new initiatives like Express. However, up until the first quarter, Express had not started to ‘materalise at the bottom line’.
Market Reaction:
On Friday, BEST stock fell 7.32% at $1.14 with more than 7.99 million shares, compared to its average volume of 5.55 million shares. The stock has moved within a range of $1.1200 – 1.2200 after opening the trade at $1.18. Over the past 52-week, the stock has been trading within a range of $1.1100 – 4.7500.
