Why This Little-Known Energy Stock Popped 26% Today
Shares of Vertex Energy (NASDAQ: VTNR) shot through the roof on Wednesday morning, trading 18.5% higher as of 12:15 ET, after popping 26.4% earlier in the day. Thanks to a massive analyst upgrade, today's surge pushed the micro-cap energy stock into small-cap territory yet again.
Vertex Energy is a specialty refiner and marketer of petroleum products, as well as one of the largest processors of used motor oil in the U.S. Shares have struggled ever since the company announced plans to raise debt worth $155 million in October. It later reported strong growth in net income for the third quarter, but the market couldn't see beyond the massive debt offering that was equivalent to nearly half of what was then the stock's market capitalization.
Not surprisingly, the market is reacting strongly to an analyst seeing more than 160% upside in Vertex shares. Yes, you read that right.
Source Fool.com
