After briefly rallying into the green, the S&P 500 and Dow Jones are again falling. As of noon, the Dow is down by 64 points, while the S&P 500 is off by over 0.4% and the Nasdaq is 0.68% in the red. Among the stocks still in the green today are Twitter Inc (NYSE:TWTR), Eleven Biotherapeutics Inc (NASDAQ:EBIO), Smith & Wesson Holding Corp (NASDAQ:SWHC), COPsync Inc (NASDAQ:COYN), and Netflix, Inc. (NASDAQ:NFLX). Let’s examine why traders are maintaining their positivity for these equities today and see what the smart money in our database thinks of each stock.
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Twitter a Beneficiary of Social Media Sector Buzz
Twitter Inc (NYSE:TWTR) is 6% higher today after Microsoft Corporation (NASDAQ:MSFT) announced it is buying LinkedIn Corp (NYSE:LNKD) for $26.2 billion, or $196 per share. Although Twitter Inc (NYSE:TWTR) doesn’t compete against LinkedIn, it is also a social media company and some investors think Microsoft’s purchase could make a potential sale of Twitter more likely. If Twitter is sold to another company, it will likely be at a big premium to the spot price. Of the 766 elite funds that we track, 27 owned long positions in Twitter Inc (NYSE:TWTR) valued at $403.17 million, which accounted for 3.50% of the stock’s float on March 31.
Eleven Biotherapeutics Up on Development Deal
Eleven Biotherapeutics Inc (NASDAQ:EBIO) shares have surged by almost 50% after the nano-cap entered into an exclusive license agreement with Roche concerning its IL-6 antagonist antibody technology. Under the terms of the deal, Eleven Biotherapeutics will receive $7.5 million in upfront payments, future milestone payments of up to $262.5 million, and royalties in exchange for granting an exclusive worldwide license to Roche to develop and commercialize EBI-031. The treatment, a humanized monoclonal antibody that potently binds IL-6 and inhibits all known forms of IL-6 cytokine signaling, is currently being developed for the potential treatment of ocular diseases. The deal also includes all other IL-6 antagonist antibody technology owned by Eleven Biotherapeutics. Two funds in our database owned shares of Eleven Biotherapeutics Inc (NASDAQ:EBIO) at the end of the first quarter.
On the next page we examine Smith & Wesson, COPsync, and Netflix are on the rise today.