Why Did Acacia Research Corp (ACTG) Shares Suddenly Fall?


Shares of Acacia Research Corp (NASDAQ:ACTG) were trading in a normal range throughout the day until approximately 1:54 p.m. ET when shares suddenly dropped from $5.49 to $4.44 in a matter of 10 minutes before being halted on a limit-down pause. After the short halt, shares reopened and began trading only slightly higher.

We can only guess, as no official word has leaked out yet, but it appears that the company may have received negative litigation news related to their suit against Alcatel-Lucent. If this is the case, it is likely that news will officially break before the end of the trading day. We urge any investors or traders to be cautious as this may just be a rumor. We will closely be watching Acacia Research Corp (NASDAQ:ACTG) shares over the remainder of the trading day and update this story should official news break.The stock has fallen 15.73% or $0.87 following this negative news, hitting $4.66 per share. About 1.33M shares traded hands or 104.19% up from the average. ACTG has declined 46.67% since May 15, 2015 and is downtrending. It has underperformed the S&P500 by 44.41%.

The institutional sentiment decreased to 0.85 in Q2 2015. It’s down 0.17, from 1.02 in 2015Q2. The ratio turned negative, as 22 funds sold all their Acacia Research Corp shares they owned while 39 reduced their positions. 10 funds bought stakes while 42 increased their total positions. Institutions now own 55.83 million shares which is 7.57% more than the previous share count of 51.90 million in 2015Q2.

Trigran Investments Inc. holds 3.42% of its total portfolio in Acacia Research Corp, equating to 1.20 million shares. Cwm Llc owns 2.10 million shares representing 1.92% of their total US portfolio. Moreover, Heartland Advisors Inc has 1.02% of their total portfolio invested in the company, equating to 3.06 million shares. The California-based Kestrel Investment Management Corp has a total of 0.92% of their portfolio invested in the stock. Anderson Hoagland & Co, a Missouri-based fund reported 144,041 shares owned.

Acacia Research Corporation is a holding company. The company has a market cap of $281.61 million. The Company, through its subsidiaries, engaged in patent investment, prosecution, licensing and enforcement activities. It currently has negative earnings. The Company’s subsidiaries partner with inventors and patent owners for patented inventions.