On June 30 the price for the stock of DiDi Global was worth $14.00, just on that day, the price has jumped to $16.51, with a mark of 17.9% rise. Though after that rise the stock has plummeted and soared time from time, until when on July 2 the price has stopped at $15.53. But as of today, the stock is plunging by 22% with the price of $12.09.
DIDI is down over 20% premarket after Chinese authorities launched investigations into the company. The investigations are expected to focus on the company’s financial statements and operations. Regardless, it’s likely that investors will remain cautious until more clarity is provided on the Chinese market.
Didi Global is a China-based company that operates taxi and ride-hailing businesses. It offers a variety of app-based services across various countries. As one of China’s largest transportation data aggregators, DIDI collects and processes large amounts of data on mobility. It has strict procedures in place to safeguard the data it holds. The China Cyberspace Administration has ordered app stores to stop selling the Didi app.