Adrian Johnson
TLDR:
- Chemours stock dropped over 8% due to accounting probe and soft outlook.
- Company is complying with regulators and projecting flat to lower sales growth.
Chemours shares experienced a significant decline as the company revealed details about an internal accounting probe and provided a soft outlook for the current quarter, overshadowing an earnings beat. The company is facing inquiries from regulators and prosecutors regarding its internal review into accounting misconduct. The stock price is currently below the 200-day moving average, indicating a potential downtrend. Investors are advised to monitor the $23.80 chart level for insights into future price direction.
Last quarter, Chemours reported adjusted earnings that exceeded expectations, driven by lower costs. However, the company anticipates flat to slightly lower net sales growth in the current quarter due to challenges in certain business segments. The stock’s recovery from recent lows may face resistance near the $23.80 level, which could influence its longer-term trajectory. As of premarket trading, shares were down 8.6% at $26.39.
Source: Investopedia
