University of Nebraska–Lincoln

When the press release was issued, Zappa’s stock price rose from $40 a share to $42 a share. On February 1, 2018, Pulso publicly announced that it would no longer do business with Zappa. Within a couple of days, Zappa’s stock price fell to $39 a share. Discuss whether Zappa has any potential liability under Rule 10b-5 for the press release ... ................
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