Why did TOP Financial stock rocket today? Traders rush to low-float Chinese financials
Hong-Kong-based online broker TOP Financial Group (NASDAQ:TOP) skyrocketed 441.1% on Friday, soaring more than 1,100% at one point in the session, as traders rushed to a handful of fellow low-float Chinese financial services stocks.
There was no obvious reason behind the wild swings, but recently-debuted TOP (TOP), in response to the move, cautioned traders to rely solely on statement and filings with the U.S. Securities and Exchange Commission.
TOP was said to have a public float of just 5M shares, trailing the 6.4M shares that changed hands during the session. Generally, prices of low-float stocks experience outsized swings in the face of heavy trading volume.
The company, which also saw its stock jump 195% on Thursday, said it doesn't intend to make further statements about the matter. TOP specializes in the trading of local and overseas equities, futures, and options products, generating the bulk of its sales from futures contracts commissions.
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Source: Seeking Alpha
