Eastman Kodak’s recent roller-coaster ride continued on Tuesday as shares surged 40% on the back of D.E. Shaw establishing a position in the company.
A filing with the Securities and Exchange Commission on Monday night showed that the hedge fund has a 5.2% passive stake in Kodak. However, D.E. Shaw is a quantitative trading firm meaning the stocks they buy and sell are not necessarily aligned with the company’s long-term view of a particular stock. In other words, their new position could simply be a short-term trading bet.