Here’s Why These Five Stocks Are Surging

Nano-cap Payment Data Systems, Inc. (NASDAQ:PYDS) is 26% in the green this afternoon on strong volume for technical reasons. Although there is no public fundamental news concerning the stock as of this time, some momentum traders could be buying to catch the wave up, however long it might last. As with all nano-caps, investors should exercise due-diligence before considering any trade of the stock. Payment Data Systems, Inc. (NASDAQ:PYDS) wasn’t held by any of the funds in our database on June 30.

Five Star Quality Care, Inc. (NASDAQ:FVE) shares have surged by 48% after the company disclosed in a press release that it understands that ABP Acquisition LLC intends to make a tender offer for up to 10,000,000 shares of the company, at $3.00 per share. ABP Acquisition is affiliated with a managing director of Five Star, Mr. Barry Portnoy. Nine funds that we track were long 16.7% of Five Star Quality Care, Inc. (NASDAQ:FVE)’s float at the end of the second quarter.

After falling by 12.4% last week on the back of the news that it is conducting an internal investigation as to whether certain payments relating to facilities in India were made in possible violation of the U.S. Foreign Corrupt Practices Act, as well as the fact that the DoJ and SEC now know about them, Cognizant Technology Solutions Corp (NASDAQ:CTSH) is 5% in the green after Deutsche Bank analyst Bryan Keane defended the company, arguing that the investigation/executive change doesn’t really affect the company’s fundamentals. Keane has a $69 price target and a ‘Buy’ rating on the stock. Gordon Coburn, who was the company’s de facto second-in-command, announced his resignation last week. Anand Parekh‘s Alyeska Investment Group raised its holding in Cognizant Technology Solutions Corp (NASDAQ:CTSH) by 37% during the second quarter, to over 1.65 million shares at the end of June.

Disclosure: None