Smart Digital Group (SDM) Under Investigation, Stock Plummets 88%
Written by Emily J. Thompson, Senior Investment Analyst
Updated: 1h ago
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Source: Businesswire
- Trading Suspension Reason: On September 26, 2025, NASDAQ halted trading of Smart Digital Group (SDM) due to volatility, with over 270,000 orders in a single minute, representing about 30% of the average daily volume, indicating extreme market instability.
- Stock Price Crash: After trading resumed, SDM's stock price plummeted to $1.85 per share, an 88% drop from the previous day's closing price, reflecting investor anxiety and a loss of confidence in the company's future.
- SEC Investigation: The SEC imposed a temporary trading suspension on SDM from September 29 to October 25, 2025, due to potential manipulation via social media recommendations, which may have artificially inflated the stock's price and volume.
- Ongoing Trading Status: As of October 11, 2025, NASDAQ announced that trading in SDM would remain suspended pending additional information from the company, highlighting regulatory scrutiny and potential risks surrounding the firm.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
