Yesterday, the stock moved down to $2.15, which is a negative 6.11% price change for REVU.Unlike the price, traded volume rose up by over 1 million shares as compared to its average value of 258 shares traded.[BANNER]
According to these facts, we can assume the investors are not much enthusiastic about REVU and they have started to sell intensively. Another proof for this hypothesis, is that the stock has lost over 9% during the past month, and its price is still going down.
The Princeton Review, Inc. is a provider of classroom-based, print and online education products and services targeting the high school and post-secondary markets. As the company was recently pronounced among the best value category in the Education Services Industry, now everyone is wondering what’s behind the story of the current low trade?
Historical data shows that REVU has traded 50% higher during the past 6 months as its price reached $4.45 per share. However, since January a downtrend has occurred.
Last month, the company announced its new CFO, who is to take his responsibilities in about a month.
Still, REVU’s 2010 first quarter results look satisfying:
- Higher revenue
- Higher net income
- Total assets of 391 thousand
- Total liabilities of 255 thousand
However, the company has generated higher expenses and it still has a long-term debt to cover.
According to its 10-Q Form, REVU has amended a new debt agreement in April, which contains: “covenants that limit, among other things, our ability to incur additional indebtedness and that require us to comply with financial covenant ratios that are dependent on maintaining certain operating performance levels on an ongoing basis”.
The company states it has experienced some variations in its revenue and expects they “could result in volatility or adversely affect our stock price.”
