Enron corporation

 
Graph from Bigcharts.com.

Enron's collapse was spectacular, but the warning was very clear as early as the end of 1999. This is a classic example of an uncontrolled share price rate increase, followed by the share price exceeding the share price capacity, chaos and then collapse. This stock was "too good to be true". Up until 1999, this was a consistent and excellent investment, but speculators should have sold the stock in 2000.

The last rally followed CEO Kenneth Lay's advice to employees to buy stock, although he had been selling, recovering $16.1 million from sold shares. A strong company would have recovered, starting from a much lower but viable share price, but Enron had hidden billions of dollars in debts and operating losses through complex accounting schemes. Once these became known, investors disappeared.

Rapid rises in share prices beyond the historical average push the share into chaos and carry extremely high risks for the company and shareholders.