The video conferencing service Zoom is one of the winners of the corona crisis, but has so far been mistaken for a completely different company on the stock exchange. To prevent further irritation, the US stock exchange regulator temporarily stopped trading the namesake Zoom Technologies on Thursday.
Anyone who did not look closely as an investor could easily get hold of the shares. Because the ticker abbreviation "ZOOM" is occupied by Zoom Technologies, which has given the company a share price increase of almost 900 percent since the beginning of the year. The problem: The company has nothing to do with the successful video conference provider Zoom Video.
Namesake without annual reports
Zoom Video has only been listed on the stock exchange since 2019 and has the ticker abbreviation "ZM". The video conference provider benefits from the fact that many office jobs in the corona crisis have been converted to home work. The stock price rose 112 percent this year. This means that the plus is significantly lower than that of the confusion candidate.
The SEC was now too busy. Supervision initially suspended Zoom Technologies' "ZOOM" stock until April 8th and indicated doubt public information on the company's financial situation, since it has not submitted annual reports since 2015.
The SEC simply says that, according to information from 2014, it is a Delaware-based company that is headquartered in Beijing, China. Before the trade freeze, the company had a market value of $ 31.3 million. Zoom Video makes almost $ 40 billion.
. (tagsToTranslate) stock market (t) video conference (t) zoom