FXCM Inc (FXCM) Up Big Again On Possible Favorable Restructuing of Debt

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Boy, has it been fun to watch shares of FXCM Inc (NYSE:FXCM) move up over the last two trading days, unless of course you are short the stock. After gains, which approached 80% at one point yesterday, shares of FXCM Inc (NYSE:FXCM) continue to move considerably higher in early morning trading today as shareholders may be anticipating a favorable restructuring of the company’s debt owed to Leucadia. Leucadia, who practically saved the company from violating capital requirements earlier this year after the Swiss central bank allowed for thre Franc to trade freely against the Euro, was said to be working with the company earlier this month with eyes on long-term success.

Additionally, the resent rally may have something to do with the nearly $66 million in cash that FXCM Inc (NYSE:FXCM) announced they had planned to buy back shares with. Considering the company’s market cap is under $60 million as we write this story, such a buy back can, and likely will, have a major impact on share price. Perhaps it already has. The stock decreased 0.70% or $0.11 during the last trading session, hitting $15.63. Approximately 58,803 shares traded hands. FXCM shares have risen 865.64% since May 26, 2015 and are currently uptrending. It has outperformed the S&P500 by 867.91%.

The institutional sentiment decreased to 0.17 in Q2 2015. It’s down 0.32, from 0.49 in 2015Q2. The ratio turned negative, as 24 funds sold all their FXCM Inc shares they owned while 22 reduced their positions. 1 funds bought stakes while 7 increased their total positions. Institutions now own 10.57 million shares which is 33.92% less than the previous share count of 16.00 million in 2015Q2.

Gagnon Securities Llc holds 0.07% of its total portfolio in FXCM Inc, equating to 168,518 shares. Municipal Employees' Retirement System Of Michigan owns 9,700 shares representing 0.01% of their total US portfolio. Moreover, Vanguard Group Inc has 0.01% of their total portfolio invested in the company, equating to 5.79 million shares. The New York-based American International Group Inc has a total of 0% of their portfolio invested in the stock. Bank Of America Corp De, a North Carolina-based fund reported 584,978 shares owned.

FXCM Inc. is an online provider of foreign exchange trading and related services. The company has a market cap of $59.91 million. The Firm offers access to over-the-counter (OTC) FX markets through its technology platform. It currently has negative earnings. In its agency model, when the Company’s customer executes a trade on the price quotation offered by its FX market makers, the Company acts as a credit intermediary simultaneously entering into offsetting trades with both the customer and the FX market maker.

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