Jay Allen Sanford 9:45 p.m., May 19
Leap, Bridgepoint Shares Creamed
On a day (August 2) in which the overall market tanked, shares of Leap Wireless and Bridgepoint Education were among the biggest losers. Wireless service provider Leap Wireless shares plunged 21% to $10.27, greatly because competitor MetroPCS reported disappointing results. MetroPCS stock was down 36.6%. Some analysts believe that in the increasing wealth and income gap between the superrich and the general population, customers of Leap and MetroPCS will be dropping out. Leap stock sold above $16 a month ago.
Controversial Bridgepoint Education, the for-profit online university with horrendous dropout rates but fat profits, reported strong earnings but gave disappointing guidance for the immediate future. The stock plummeted 13.06% to $21.77. On July 21 and 22, the stock closed above $30.