These 3 Factors Drove DryShips Inc.'s Stock up 65% in October
DryShips Inc. (NASDAQ: DRYS) has taken investors on a wild ride this year, and October was no exception as a combination of factors drove the stock up more than 65%. Though, shares have still practically lost all their value this year due to a flood of dilutive stock sales. Further, October's optimism could quickly fade if the momentum that fueled last month's buying abates.
One of the primary fuels of DryShips' surge last month was the company's decision to curb its dilutive stock sales and focus on increasing shareholder value. The company's CEO put his own money on the line to back that effort after investing $99.2 million into a rights offering, which gave him a 69.5% stake in the company. Further, he agreed not to sell any shares for at least six months.
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Source: Fool.com
