Shares of Jumia Technologies AG rose for the third consecutive day Thursday, as some investors parsed a short seller’s comments that the stock for the e-commerce company has ample room to expand.
American depository receipts for Jumia, which operates an e-commerce company focused on markets in Africa, ended the day priced at $46.86, up more than 8%. The shares gained about 7% yesterday and increased almost 11% Tuesday.
What precisely drove the price for the stock higher this week isn’t clear. Jumia isn’t profitable, but some market participants have wondered if the company could grow over the longer term into a dominant e-commerce operator. Jumia offers an online marketplace in countries including Nigeria, Egypt and South Africa and has a payments unit.
On Wednesday, Citron Research said in a tweet that Jumia’s shares were on their way to $100. Citron’s Andrew Left confirmed the tweet in an email and described Jumia as the biggest story in the e-commerce world today.
Mr. Left had once accused Jumia of fraud and established a short position on the company’s stock, betting it would fall. Jumia executives had said the company is transparent.
Jumia Shares Notch Third Straight Day of Gains Source link Jumia Shares Notch Third Straight Day of Gains