Shares of ( New Age Beverages NASDAQ:NBEV), a company that sells ready-to-drink tea, coffee, kombucha, and energy drinks, jumped on Wednesday. By the time the market closed, shares were up 12%.
The stocks gain followed a tweet on Wednesday from New Age Beverages’ official Twitter account stating, “The countdown is on. Big news coming from #Nestea.”
The news from Nestea, a New Age Beverages tea brand, was released shortly before market close on Wednesday.
“Nestea Instant Sweet Iced Tea Mix is back!” the company said in a follow-up tweet. “We are so excited to bring back this family favorite. After reading hundreds of messages asking for this staple product, Nestea USA decided they had to make Instant again!”
The news doesn’t seem to be as impressive as investors were expecting. Shares had risen as much as 31% before the announcement. The stock’s 12% gain by the end of the day, therefore, marked a significant step-down from highs achieved during the trading day after the first tweet was released.
Investors should remain focused on New Age Beverages’ underlying business. While product news can undoubtedly be material, it’s generally difficult to gauge the impact of products until New Age Beverages releases quarterly financial results.