Volatile Stocks Under Street Updates: The Western Union (NYSE:WU), Ashford Hospitality Prime (NYSE:AHP)

The Western Union Company (NYSE:WU) [Trend Analysis] retains strong position in active trade, as shares scoring 0.15% to $19.96 in active trade session, while looking at the shares volume, around 4.27 Million shares have changed hands in this session. Pomerantz LLP reported that a class action lawsuit has been filed against The Western Union Company (NYSE:WU) and certain of its officers. The class action, filed in United States District Court, District of Colorado, and docketed under 17-cv-00474, is on behalf of a class consisting of investors who purchased or otherwise acquired Western Union securities, seeking to recover compensable damages caused by defendants’ violations of the Securities Exchange Act of 1934.

The Complaint alleges that throughout the Class Period, Defendants made materially false and misleading statements regarding the Company’s business, operational and compliance policies. Specifically, Defendants made false and/or misleading statements and/or failed to disclose that: (i) Western Union’s fraud prevention efforts did not comply with applicable laws; (ii) Western Union willfully failed to maintain an effective anti-money laundering program; (iii) Western Union aided and abetted wire fraud; (iv) for at least five years, Western Union knew of agents structuring transactions designed to avoid the reporting requirements of the Bank Secrecy Act; (v) Western Union was not compliant with its regulatory responsibilities; (vi) between 2004 and 2012, Western Union violated U.S. laws the Bank Secrecy Act and anti-fraud statutes by processing hundreds of thousands of transactions for Western Union agents and others involved in an international consumer fraud scheme; (vii) Western Union knew of but failed to take corrective action against Western Union agents involved in or facilitating fraud-related transactions; (viii) between January 1, 2004 and August 29, 2015, Western Union received at least 550,928 complaints about fraud-induced money transfers, totaling at least $632,721,044; and (ix) as a result of the foregoing, Western Union’s public statements were materially false and misleading at all relevant times. The firm insider ownership included 0.20%. WU attains analyst recommendation of 3.20 with week’s performance of -1.04%. Investors looking further ahead will note that the Price to next year’s EPS is 4.41%.

Ashford Hospitality Prime, Inc. (NYSE:AHP) [Trend Analysis] knocking active thrust in leading trading session, shares an advance of 0.18% to 10.95 with around 1.3 Million shares have changed hands in this session. Ashford Hospitality Prime, Inc. (AHP) reported that it has priced its underwritten public offering of 1,975,500 shares of 5.50% Series B Cumulative Convertible Preferred Stock (the “Preferred Stock”) at a price to the public of $20.19 per share, which includes accrued and unpaid dividends since January 15, 2017.

Dividends on the Preferred Stock will accrue at a rate of 5.50% per annum on the liquidation preference of $25.00 per share. Settlement of the offering is expected to occur on or about March 7, 2017. The underwriters have been granted an option to purchase an additional 296,250 shares as part of this offering. Ashford Prime intends to use the net proceeds of this Preferred Stock offering, along with the net proceeds of the Company’s previously reported public offering of its common stock, for general corporate purposes, including to fund future acquisitions, which may include the Company’s recently reported potential acquisitions, if such acquisitions are consummated. The stock is going forward its fifty-two week low with 13.35% and lagging behind from its 52-week high price with -37.93%.

Similar, the positive performance for the quarter recorded as -14.59% and for the year was -0.18%, while the YTD performance remained at -19.78%. AHP has Average True Range for 14 days of 0.49.

 

About Richard Avery

He is a capital projects manager and process design engineer at a large-cap company. He has renowned MBA degree. Before joining SWR, he was a freelance writer for renounce tech websites. He is currently studying for CFP exam. Interests: Tech stocks, Economic Markets, Blue-chips.

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