Rackable: No Comment On Stock Rise
Posted by Eric Savitz
Rackable Systems (RACK) has no comment on the recent jump in the price of its stock, according to the company’s PR firm.
As I noted earlier, there recently have been rumors that Dell (DELL) might be interested in acquiring the company. The site smallcapinvestor.com reports that “shares are trading up after online options tracking services reported increased call option activity that may be an indicator of an acquisition offer coming or of further shareholder-friendly developments,” and that Rackable was also mentioned on CNBC Tuesday morning as a potential takeover candidate.
Rackable today jumped $1 to $13.69, after gaining 53 cents yesterday; the shares have backed off 19 cents in after hours trading.
Rackable Systems (RACK) shares are up 89 cents today, or 7%, to $13.58, after jumping 53 cents yesterday on surging volume. Why is not exactly clear. The only news is that the company’s COO, Gautham Sastri, switched jobs and becomes EVP of its RapidScale division. I don’t think that would quite explain a two-day 12% rally.
The stock trades like Rackable is in play; there have been recent rumors that Dell (DELL) might be interesting in buying them.
If you have another theory, please pass it along.
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