Newegg Commerce (NASDAQ:NEGG) Shares Gap Down - Should You Sell?

Key Points

• Newegg Commerce shares experienced a significant drop, gapping down from a previous close of $41.93 to an opening price of $37.47 on Tuesday, ultimately trading at $39.42.
• Major shareholder Vladimir Galkin boosted his holdings by acquiring 416,799 shares at $29.68 each, raising his stake in the company by 15% and bringing his total ownership to about 3.19 million shares.
• Institutional investors have been active, with notable investments including Bank of America dramatically increasing its position by over 10,675% during the past quarter.

Newegg Commerce, Inc. (NASDAQ:NEGG - Get Free Report)'s share price gapped down prior to trading on Tuesday . The stock had previously closed at $41.93, but opened at $37.47. Newegg Commerce shares last traded at $39.42, with a volume of 524,483 shares trading hands.

Newegg Commerce Trading Up 9.6%

The business's 50 day moving average price is $51.62 and its 200-day moving average price is $22.07. The company has a quick ratio of 0.52, a current ratio of 1.25 and a debt-to-equity ratio of 0.41.

Insider Activity at Newegg Commerce

In other Newegg Commerce news, major shareholder Vladimir Galkin acquired 416,799 shares of the stock in a transaction dated Thursday, July 17th. The stock was acquired at an average price of $29.68 per share, with a total value of $12,370,594.32. Following the completion of the purchase, the insider owned 3,194,576 shares in the company, valued at $94,815,015.68. This trade represents a 15.00% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Insiders have purchased a total of 1,133,230 shares of company stock valued at $37,525,071 over the last ninety days. Company insiders own 22.90% of the company's stock.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently made changes to their positions in NEGG. Jane Street Group LLC purchased a new position in shares of Newegg Commerce in the fourth quarter valued at approximately $44,000. XTX Topco Ltd purchased a new position in shares of Newegg Commerce in the first quarter valued at approximately $55,000. FNY Investment Advisers LLC purchased a new position in shares of Newegg Commerce in the second quarter valued at approximately $64,000. Squarepoint Ops LLC purchased a new position in shares of Newegg Commerce in the fourth quarter valued at approximately $69,000. Finally, Bank of America Corp DE boosted its stake in shares of Newegg Commerce by 10,675.0% in the second quarter. Bank of America Corp DE now owns 10,775 shares of the company's stock valued at $175,000 after purchasing an additional 10,675 shares during the period. Hedge funds and other institutional investors own 0.45% of the company's stock.

About Newegg Commerce

Newegg Commerce, Inc operates as an electronics-focused e-retailer in North America. The company offers desktops, laptops, gaming laptops, peripherals, and accessories; CPU/processors, graphic cards, motherboards, storage devices, and computer accessories; home video and audio, headphones, pro audio/video, cellphones, wearables, and digital cameras; display and printing, office technology furniture, office supplies, and mailing and inventory supplies; and software, digital downloads, warranty and services, 3rd party gift cards, and entertainment products.