Legal Definitions - yo-yo stock

Definition: Yo-yo stock is a type of volatile stock that is subject to wide and rapid fluctuations in price.

Example: A company's stock that goes up and down frequently and unpredictably is an example of yo-yo stock.

Explanation: Yo-yo stock is a term used to describe stocks that experience sudden and significant changes in price. These changes can be caused by a variety of factors, such as changes in the market, company news, or investor sentiment. The term "yo-yo" refers to the up-and-down motion of the stock's price, much like the toy. Investors who buy yo-yo stocks are taking on a higher level of risk, as the stock's value can change rapidly and unpredictably.