You may have heard of the huge $3.2 billion buyout of Nest, a high-tech thermostat and smoke detector company, by Google earlier this week, but you’ve probably never heard of Nestor Inc. In a mistake too hilarious to believe, some investors who were looking to profit off the buyout accidentally bought stock in the wrong company, causing Nestor’s penny stock to surge 1900%.
According to Business Insider, Nestor Inc. is a Providence, Rhode Island company of 89 employees that sells automated traffic enforcement systems to local government agencies. In stocks however, Nestor trades under the ticker NEST. The real Nest company that Google bought this week was founded by former iPod genius Tony Fadell and builds innovative thermostats that can link to your phone.
Thanks to a probable case of insider trading (you can definitely profit off of people’s stupidity), Nestor’s stock skyrocketed, a good amount of investors are thoroughly embarrassed, and we can’t stop imagining that the person who got rich off all the confusion is probably smiling on a yacht somewhere popping some old quaaludes right now. Cheers!