Skip to main content

Market Overview

NY Post On Lumber Liquidators' Misunderstood Surge: 'Oops, Wrong Settlement'

Share:

Shares of Lumber Liquidators Holdings Inc (NYSE: LL) surged higher on Monday following reports that the company entered into a plea agreement with a federal judge.

According to the New York Post, Wall Street reacted as if the company had finally "put its China-sourced formaldehyde flooring crisis behind it." However, Lumber Liquidators paid $13 million to settle claims that it illegally imported hardwood from a forest in Russia, which is also home to an endangered Siberian tiger.

"Ooops, wrong settlement," the New York Post noted.

Seth Basham, an analyst at Wedbush, told the New York Post that investors and traders overreacted to the news reports on Monday. The analyst also suggested that investors and traders reacted to the news before realizing what was actually in the settlement.

Lumber Liquidators' shares flirted with the $15 level on Monday following the press release. By late Tuesday morning, shares were trading lower by 3 percent on the day at $12.94.

 

Related Articles (LL)

View Comments and Join the Discussion!

Posted-In: lumber liquidators Lumber Liquidators formaldehyde Lumber Liquidators Settlement Seth BashamAnalyst Color News Legal Movers

Latest Ratings

StockFirmActionPT
SEDGB of A SecuritiesMaintains411.0
PTLOPiper SandlerMaintains28.0
AOUTLake StreetMaintains26.0
RAPTPiper SandlerMaintains52.0
OCXLake StreetMaintains6.0
View the Latest Analytics Ratings
Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com