Why Did Ambac Financial Group Stock Soar 28.9%?

On April 25, 2025, Ambac Financial Group's stock surged by 28.9% in pre-market trading, marking a significant rise that has caught the attention of investors and analysts alike.

Ambac Financial Group's recent performance has been influenced by several key factors. The company's stock price has shown volatility, with fluctuations observed in recent trading sessions. Despite these fluctuations, the stock has managed to gain momentum, rising by 11.67% over the past two weeks. This upward trend has been supported by a buy signal issued from a pivot bottom point on April 10, 2025, which has resulted in an 18.32% increase in the stock price.

However, the stock also faces several challenges. The long-term average holds a general sell signal, indicating a more negative forecast for the stock. Additionally, the stock's volatility, with a daily average volatility of 5.17%, suggests that it is considered a high-risk investment. The stock's support levels at $7.35 and $7.09 further highlight the potential for downward movement if these levels are breached.

Despite these challenges, Ambac Financial Group's stock has shown resilience, with a buy signal from the short-term Moving Average and a potential for further gains if the stock can break through the long-term Moving Average at $7.99. The company's earnings are expected to decrease from $0.60 per share to ($0.20) per share in the next year, which may impact the stock's performance in the coming months.