Shares of retailer Express (EXPR) - Get Express Inc. Report rocketed into outer space in trading Monday, continuing the parade of heavily-shorted stocks that have blasted off in line with GameStop’s surge Friday.
That surge came after Andrew Left, managing partner of short seller Citron, said it’s abandoning its short of GameStop's stock because of harassment from bulls.
Express shares recently traded at $3.26, up 82%, and have levitated more than 200% since Thursday’s close.
As for Express, the company hired investment bank Lazard Frères to help raise enough financing to get the fashion retailer through the coronavirus pandemic, The Wall Street Journal reported last month.
Chief Executive Timothy Baxter told The Journal that Express isn't considering a bankruptcy filing "and continues to take decisive and appropriate action to manage liquidity throughout this prolonged pandemic."
The company is looking to add to its cash reserves until enough of the U.S. population is vaccinated against the coronavirus to enable in-person shopping and office work to resume, The Journal said, citing people familiar with the matter.
Without the additional financing, the company could face a cash crunch, the people told The Journal.
Baxter said Express "has several possible options to enhance liquidity as it moves into 2021."
Earlier in December, Express reported a wider-than-expected fiscal-third-quarter loss and said it would cut jobs. The company also said that it had cut 10% of staff at its corporate office in Columbus and would not provide guidance due to lack of visibility.