Why Sprint (S) Stock Is Tumbling Today

Sprint (S) stock is down this morning following SoftBank's (SFTBF) $32 billion bid for Arm Holdings (ARMH).
By Rachel Graf ,

NEW YORK (TheStreet) -- Shares of Sprint (S) - Get Report are declining 6.90% to $4.66 on heavy trading volume late Monday morning as Wall Street speculates that it might receive fewer resources from its parent company SoftBank (SFTBF) following SoftBank's $32 billion bid for semiconductor giant Arm Holdings (ARMH), according to Bloomberg.

SoftBank controls 83% of Sprint, which has been contending with $33 billion in debt.

Sprint stock has surged nearly 30% since SoftBank CEO Masayoshi Son replaced heir apparent Nikesh Arora last month, Bloomberg reports. The uptick reflects investors' belief that Son is more committed to helping the wireless carrier than Arora was.

About 27.01 million shares of Sprint have been traded so far today, well above its average trading volume of roughly 15.36 million shares per day.

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