Vringo, Inc.(NYSEAMEX:VRNG) continued to trade with volatility on Tuesday and ended lower by 18% to $4.45, off 22.50% from session’s high of $5.73. The stock has been in news since the last week and investors have reacted positively to all the news with the stock has soared 80% in the past one week.
Firstly, last week, the court had ordered Google Inc (NASDAQ:GOOG) to negotiate with VRNG related to ongoing patent war, where the former was sued by later for infringement of a patent. Well, this off course is positive news for VRNG’s shareholders and the soared 58% last week. However, on the stock retreated on Friday after the company announced that it raised $45 million in a direct offering to five of its existing institutional investors at $4.35 a share.
Well, the latest fight is yet to end, the company has decided to sue another company for patent infringement as on Monday the company said it was suing the UK subsidiary of ZTE Corporation for infringement.
Will VRNG Hit $10 Before The case Date? Find Out here
It further said “The filing of this action in the United Kingdom is an initial step in Vringo’s global licensing and enforcement program in the telecommunications sector.”
Also, John Tinker, analyst with Maxim said that Vringo appeared to have Google in a tight spot going into settlement negotiations and that the Internet search giant could be liable to pay hundreds of million to Vringo or simply buy the patents.
Vijay Jayant, an analyst at ISI Group believes that Sirius XM Radio Inc(NASDAQ:SIRI) could surprise the Street with better-than-expected growth in subscribers for the third quarter, owing to the surprising strength in September auto sales. He now sees Sirius posting about 456,000 net adds for the current quarter, which is up from initial expectation of 336,000. He has noted that September US auto sales came in at an adjusted yearly rate of 14.9 million, which is beyond his prediction of 14.1 million.
Jayant has mentioned in a research note that he is maintaining his fourth quarter net add estimate at 460,000, reflecting some vigilance ahead of the impending fiscal cliff.
The analyst said that he would not be taken by surprise if the firm pre-announces strong outcomes.
Jayant has retained his ‘Buy’ rating and $3 target on Sirius. He repeated his rating on Liberty Media that owns just lower than half of Sirius.
In another news, RadioShack Corporation(NYSE:RSH) shares soared over 12% to $2.33 onTuesday after an analyst at Bank of America/ Merrill Lynch, Denise Chai increased her rating on the retailer’s shares to ‘buy’ from ‘underperform’. She raised her target from $2 to $2.50.
Chai said that she has noted a rapid change at the struggling retail chain. The firm has expelled its CEO, ceased to pay dividend and have bought back stock. It no longer provides financial supervision. However, she has also mentioned that with the market cap presently just 20% of inventory and account receivable, and with more than $1 billion in liquidity and the prospects for new leadership to take action, she can see bright chances for upside.
Shares of Radioshack Corporation rose by more than 12% to $2.33 during the morning trading at NY Stock Exchange on Tuesday. Analysts expect the company a challenging October month. However, there are signs of stability.