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Grizzly Report Sparks XP Stock Slide

Grizzly Report Sparks XP Stock Slide

XP ( (XP) ) is experiencing volatility. Read on for a possible explanation for the stock’s unusual movement.

XP Inc.’s stock has been under pressure due to a critical short report from Grizzly Research, which accuses the company of running a massive Ponzi scheme through its derivatives sales. The report suggests that the scheme depends on the exceptional performance of certain funds, raising concerns about XP’s financial stability if fund inflows decrease. Despite these serious allegations, XP Inc. reported strong Q4 2024 financial results, showcasing growth with increased earnings per share. However, the market seems more swayed by the potential fallout from the allegations, leading to significant bearish activity and a rise in implied volatility.

More about XP

YTD Price Performance: 26.67%

Average Trading Volume: 6,793,406

Technical Sentiment Consensus Rating: Buy

Current Market Cap: $8.08B

For further insights into XP stock on TipRanks’ Stock Analysis page.

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Questions or Comments about the article? Write to editor@tipranks.com

Questions or Comments about the article? Write to editor@tipranks.com