The global markets are trending lower on the final day of the trading week, as the Shanghai Composite closed down by 0.28% while the Hang Seng closed 0.49% lower. Various European markets, including the FTSE 100 and CAC 40 also finished in the red. Even the U.S markets, which were expected to retain their Fed-fueled ascent, all in the red this morning.
Nonetheless, several stocks are red-hot right now, having hit 52-week highs yesterday. Those stocks are Becton Dickinson and Co (NYSE:BDX), Alphabet Inc (NASDAQ:GOOGL), QUALCOMM Inc. (NASDAQ:QCOM), Workday Inc (NYSE:WDAY), and Twilio Inc (NYSE:TWLO). In this article, we’ll take an in-depth look at what’s been fueling these stocks to new heights.
In our backtests, a portfolio of the 15 most popular small-cap stocks generated monthly alpha of 81 basis points, versus 0.7 percentage points posted by hedge funds’ top large- and mega-cap picks (see more details).
Twilio Inc (NYSE:TWLO) hit a 52-week high yesterday and has pushed it even higher this morning, being up by 3.86% on the day. The company announced the acquisition of Kurento earlier this week, which will allow it to integrate Kurento’s media server technology with its products. It will be used for various purposes such as tanscoding and recording media processing features and group calls. The deal was just Twilio Inc (NYSE:TWLO)’s second acquisition since its 2007 launch; it acquired Authy early in 2015. Nine of the hedge funds that we track held about $47 million worth of Twilio’s stock at the end of June. The company went public on June 23 and its shares have already gained over 134%.
Alphabet Inc (NASDAQ:GOOGL) hit its 52-week high of $819.06 yesterday amid news that its cloud service will be used by the Royal Bank of Scotland to test blockchain technologies for banking purposes. The field is currently dominated by Microsoft Corporation (NASDAQ:MSFT), Amazon.com, Inc. (NASDAQ:AMZN) and International Business Machines Corp. (NYSE:IBM). The news was announced by consulting firm GFT, which said that the technology will also be used by other bank clients of the firm. Google also launched a new funding round for Airbnb via its VC arm, Google Capital, which was revealed yesterday. The number of funds in our hedge fund database long either Alphabet Inc (NASDAQ:GOOGL) Class A or Class C shares stood at 187 at the end of June.
We’ll check out three more stocks that are flying high right now on the next page.