- After opening lower in response to news it has fired auditor PwC and replaced it with Marcum Bernstein & Penchuk, heavily-shorted NQ Mobile (NQ) is now surging back towards $5.
- “It’s good news that NQ Mobile finally took action to get a new auditor in its efforts to file a 20-F because PwC had delayed its audit work for a long time and the company can’t afford to wait too long," says Rosenblatt Securities' Jun Zhang. "NQ can move on to focus on its normal business once the uncertainty of 2013 report filing is removed."
- SA author Ronin Investment Research is more pessimistic, arguing (citing past auditor opinion statements) PwC's firing came after the firm voiced concerns misstatements could be happening. "PwC did its job. It expressed concern that a problem could exist."
- Shares still -67% YTD.