Chuy’s IPO Keeps Getting Bought Higher, On Lower Volume (CHUY)

On Monday shares opened up at $17.40 but the stock is up another 3.4% on the day at $17.70 and the trading volume has only been about 58,000 shares as of 2:23 PM EST.  Here is the volume and price matrix since the IPO:

July 27, 2012 shares gapped up at $17.50 but closed up $0.41 at $17.12 on almost 135,000 shares.

July 26, 2012 Chuy’s gapped up to $17.34 at open but closed up $0.89 at $16.71 with some 245,000 shares.

July 25, 2012 opened at $15.15 and closed at $15.82 on 487,800 shares.

July 24, 2012 open $15.00, closed at $15.06 on 4,343,200 shares.

With volume petering out, we would be leery of expecting a rise endlessly here.  This was a well followed IPO and the interest has been higher and higher but with fewer and fewer buyers and sellers.  At some point those sellers are going to turn their shares back in and hope they can buy a growth Mexican restaurant food chain for cheaper.

JON C. OGG