Despite an old Wall Street proverb that says that "stocks take a staircase up and an elevator down," some companies like Jumia Technologies(NYSE: JMIA) do the opposite. After a rampant bullish run a year ago, the stock has now entirely erased that move, dipping below the US$15 level on an earnings report.
Shares of Jumia Technologies (NYSE: JMIA) took a dive this week after the African e-commerce company reported disappointing third-quarter results. According to data from S&P Global Market Intelligence, the stock was down 26.4% as of Thursday's closing. Jumia has been a highly volatile stock since its IPO in 2019.
Jumia (NYSE: JMIA) and ContextLogic (NASDAQ: WISH), the parent company of Wish, have both been disappointing e-commerce investments. Jumia, a German company that gained an early mover's advantage in Africa's nascent e-commerce market, went public at $14.