A stock increased by 12% in the first quarter and then decreased by 5% in the second quarter. If the initial stock price was $100, what was the price at the end of the second quarter?

Wed, 29 Apr 2026 21:08:27 +0000

**Why’s A Stock Up 12%, Then Down 5%? The On-Again, Off-A pennant of Market Dynamics** In recent months, investors have gripped headlines around a notable stock that surged 12% in its first quarter—driven by strong earnings and optimistic sector trends—before dipping nearly 5% in the second. With prices closing at roughly $95.40, this movement has sparked digital curiosity, especially among finance-focused users on mobile platforms seeking clarity on volatility, trend analysis, and real-world market behavior. Understanding how this shift plays out isn’t just academic—it’s relevant for anyone evaluating investment risk, timing, or long-term strategy. So what really happened, and why should you care? --- ### What Actually Happened?
A stock began at $100. It climbed 12%, reaching $112. However, in the next quarter, a 5% drop recalibrated the price down to approximately $95.40. This pattern reflects common volatility seen in dynamic markets, where strong quarterly performance draws investor enthusiasm, followed by short-term pullbacks due to profit-taking, shifting sentiment, or macroeconomic signals. Such swings are natural and don’t signal a long-term loss—merely recalibration.