share price falls

A company’s share price falls >20%, should you buy or sell?


Throughout the life of a listed company, it will undoubtedly encounter share price swings due to the unpredictable nature of industry and market sentiment. In fact, there are a whole host of reasons why a company may experience a share price fall and when it does, this can be a great time to consider it for your portfolio. But a share price fall does not mean you should automatically buy, and it certainly doesn’t mean you should automatically sell. The reason for the share price fall will ultimately determine what action to take.