Wirecard: Why the price has increased

waiting While the scandal of the payment processor Wirecard clarification, had started a few investors apparently put back on the stock. The listing on Wednesday morning, in the meantime, a good 15 percent to 19.80 euros and lock in order to course of Monday's gains, which led the share price by almost 19 percent to 17.50 euros upwards.

Martin Hock

editor in the economy.

F. A. Z.

A strong recovery after the drastic loss is not uncommon. This is mainly due to three factors. For the first technically-oriented equity investors. After the strong price losses of so-called "oversold" situations arise in your chart often. A recovery in the share price indicates that investors are popping up. The rates actually rise, so that it is a self-fulfilling prophecy.

The second seller from the rise of increasingly empty: The rate of loss, to the these have occurred, perhaps even more than expected. This profit is to be secured, if the downtrend has stabilized movement. The majority of the gain is retracted, a technical recovery (see above) probably not. Just in case, Wirecard, there was always a comparatively large amount of short sales - finally, the reputation of the company was scratched a long time, and actually, there have always been doubters.

And the third is the pure, unsupported, opportunistic speculation on a rate increase.

WIRECARD -- -- (--) Xetra tradegate long & black London SE Int. Level 1StuttgartFrankfurtSchweiz OTCWienSchweiz 1T 1W 3M 1J 3J 5J For detail view

of Course, it is currently speculated that there was a fundamental conditional purchases. The company's value has shrunk to just 2 billion euros. This would be for a payment processor little. And the European business is actually available, is a justification.

but The question is, how deep the scandal is enough. Because Wirecards technology is in a consolidating market for payment processing is by no means unique. More interesting than the technology, the customers are actually relationships.

And here arises the question, what is the impact of damage to the image? Just switch major customers of the provider? That is, depending on whether the new chief manages to quickly begin a new Chapter, but also what are the termination options the contracts offer. The Asian ridesharing service grave has announced on Wednesday to put the partnership with Wirecard until further notice on ice.

Date Of Update: 24 June 2020, 08:20