In this article, we will take a look at the 10 stocks skyrocketing today.
U.S. stocks inched lower this morning as investors feared that China might reimpose mobility restrictions following the resurgence of Covid cases and some Covid-related deaths in the country. Analysts believe the renewed restrictions would slow down the global economic recovery.
Meanwhile, The Walt Disney Company (NYSE:DIS), Sotera Health Company (NASDAQ:SHC) and Imago BioSciences, Inc. (NASDAQ:IMGO) were spotted gaining value on a massive volume despite the broad market selloff.
The Walt Disney Company shares jumped as investors cheered the return of former chief executive officer Bob Iger, while Sotera Health Company (NASDAQ:SHC) shares climbed after winning a lawsuit. On the other hand, Imago BioSciences, Inc. shares skyrocketed more than 100 percent after Merck & Co., Inc. (NYSE:MRK) decided to buy the clinical-stage biopharmaceutical firm for $1.35 billion.
In addition, Restaurant Brands International Inc. (NYSE:QSR) and The J. M. Smucker Company (NYSE:SJM) were also among the notable gainers of the day. Check out the complete article to see why these stocks gained value today.
Photo by Austin Distel on Unsplash
10. Ituran Location and Control Ltd. (NASDAQ:ITRN)
Number of Hedge Fund Holders: 7
Shares of Ituran Location and Control Ltd. (NASDAQ:ITRN) jumped nearly 9 percent in the pre-market trading session on Monday following the company’s earnings beat for Q3. The stolen vehicle recovery and tracking service provider reported a profit of 49 cents per share, compared to 35 cents per share in the year-ago period.
In addition, Ituran Location and Control Ltd. posted revenue of $72.7 million, up 11 percent on a year-over-year basis. The results exceeded the consensus of 46 cents per share for earnings and $71.09 million for revenue.
Ituran Location and Control Ltd. also released its segment-wise sales results. Its subscription fees revenue jumped 10 percent to $53.1 million, while product revenue increased 12 percent to $19.5 million in the quarter.
9. Imago BioSciences, Inc. (NASDAQ:IMGO)
Number of Hedge Fund Holders: 9
Shares of Imago BioSciences, Inc. skyrocketed over 100 percent this morning. The surge came after Merck & Co., Inc. (NYSE:MRK) announced that it is buying Imago in a transaction valued at $1.35 billion.
Imago BioSciences, Inc. will receive $36 per share, representing a massive premium of about 107 percent to the stock’s closing price in the previous trading session. The latest acquisition is a part of Merck’s efforts to expand its drug portfolio.
The two companies expect to complete the deal in the first quarter of 2023. Imago BioSciences, Inc. is a clinical-stage biopharmaceutical firm engaged in developing therapies for bone marrow-related disorders.
8. Squarespace, Inc. (NYSE:SQSP)
Number of Hedge Fund Holders: 11
Squarespace, Inc. (NYSE:SQSP) shares rose over four percent in mid-day trading Monday after receiving an upgrade from Piper Sandler. The research firm improved its ratings for the website publishing and online content management software platform from “Neutral” to “Overweight,” citing its sales and bookings growth for the third quarter.
Analyst Clarke Jeffries seemed particularly impressed with the company’s bookings growth. Jeffries also raised his price target for Squarespace, Inc. from $22 per share to $30 per share.
Earlier this month, Squarespace, Inc. released its financial results for Q3. The company posted revenue of $217.7 million, up 8 percent versus last year and above expectations of $215.7 million.
Total bookings also jumped 10 percent on a year-over-year basis. On the downside, Squarespace, Inc. reported earnings of 7 cents per share, which fell below analysts’ average estimate of 11 cents.
7. Drive Shack Inc. (NYSE:DS)
Number of Hedge Fund Holders: 12
Share of Drive Shack Inc. (NYSE:DS) climbed more than 20 percent this morning after the operator of golf-related leisure and entertainment businesses posted a narrower-than-expected loss for the third quarter.
Drive Shack Inc. reported a loss of 9 cents per share, compared to the consensus forecast calling for a loss of 12 cents. Revenue for the quarter jumped 16.1 percent on a year-over-year basis to $88.67 million, topping expectations of $87.07 million.
Discussing the results, CEO of Drive Shack Inc., Hana Khouri, said in a statement:
“Event revenue this quarter is over $3 million higher than prior year. We have seen the demand for future events across both the corporate and social categories continue to rise, which will translate into strong revenue results in the back half of this year.”
Like Drive Shack Inc., shares of The Walt Disney Company, Restaurant Brands International Inc. and The J. M. Smucker Company also rose this morning.
6. Sotera Health Company (NASDAQ:SHC)
Number of Hedge Fund Holders: 21
Shares of Sotera Health Company soared more than 30 percent in mid-day trading Monday. The surge came after a Cook County jury ruled that Sotera was not responsible for causing cancer in a woman living close to its Sterigenics unit.
Sotera Health Company is facing hundreds of cases over ethylene oxide emissions from its plants. Plaintiffs have blamed the company for various diseases, including cancer, due to the emissions.
The latest verdict came just a couple of months after a separate jury in Illinois ruled that Sotera Health Company should pay $363 million to a woman who caught breast cancer due to emissions from its plant.
5. Jacobs Solutions Inc. (NYSE:J)
Number of Hedge Fund Holders: 25
Shares of Jacobs Solutions Inc. (NYSE:J) advanced nearly four percent before the opening bell today after announcing better-than-expected financial results for its fiscal fourth quarter. The technical professional services company reported adjusted earnings of $1.80 per share, up from $1.58 per share in the year-ago period.
Revenue came in at $3.9 billion, representing a surge of 8.2 percent over the same period of 2021. Analysts expected Jacobs Solutions Inc. to earn $1.77 per share on revenue of $3.82 billion.
Looking forward, Jacobs Solutions Inc. guided for adjusted earnings in the range of $7.60 – $7.90 per share for its fiscal year 2023. The midpoint of the guidance represents a jump of 12 percent on a year-over-year basis.
4. Restaurant Brands International Inc. (NYSE:QSR)
Number of Hedge Fund Holders: 27
Shares of Restaurant Brands International Inc. hit a new 52-week high of $68.18 this morning after Morgan Stanley upgraded the fast food holding company from “Sell” to “Hold.”
The research firm was primarily moved by the appointment of Patrick Doyle as the executive chairman last week. Analyst John Glass expects Doyle to unlock growth for the company. Glass also raised his price target for Restaurant Brands International Inc. from $56 per share to $71 per share.
Earlier this year, Restaurant Brands International Inc. appeared in the second-quarter 2022 investor letter of investment holding company Pershing Square. Here’s what the firm said:
“Restaurant Brands International Inc. (NYSE:QSR) ‘s franchised business model is a high-quality, capital-light, growing annuity that generates high-margin brand royalty fees from its four leading brands: Burger King, Tim Hortons, Popeyes, and Firehouse Subs.
QSR is investing in each of its brands to position them for sustainable, long-term growth. As Canada reopened, Tim Hortons’ same-store sales returned to growth during the quarter compared to pre-COVID levels, driven by growth across all dayparts, formats, regions and product categories aside from hot beverage…” (Click here to read the full text)
3. The J. M. Smucker Company (NYSE:SJM)
Number of Hedge Fund Holders: 38
Shares of The J. M. Smucker Company rose over three percent in the pre-market trading session today. The surge came after the food and beverage maker beat profit expectations for its fiscal second quarter and improved its outlook for the full year.
The J. M. Smucker Company earned $2.40 per share on an adjusted basis, crushing expectations of $2.18 per share. Revenue for the quarter jumped 7.6 percent on a year-over-year basis to $2.21 billion, beating estimates of $2.17 per share.
For its fiscal year 2023, The J. M. Smucker Company now expects adjusted earnings in the range of $8.35 – $8.75 per share, up from its previous outlook between $8.20 – $8.60 per share.
2. Domino’s Pizza, Inc. (NYSE:DPZ)
Number of Hedge Fund Holders: 52
Shares of Domino’s Pizza, Inc. rose to a nearly three-month high this morning after the pizza restaurant chain announced that it is adding over 100 Chevy Bolt EVs in select stores across the country.
Domino’s Pizza, Inc. plans to deploy 700 additional EVs in the coming months. The company believes the EV fleet would save it from higher fuel costs, besides helping it in enticing more drivers.
Separately, investment management firm LRT Capital also discussed Domino’s Pizza, Inc. in its recent investor letter. Here’s what the firm said:
“Domino’s Pizza, Inc. (NYSE:DPZ) is the world’s largest franchisor of pizza restaurants with over 13,800 locations in 85 countries. As for any restaurant operator, the key metric to consider for Domino’s Pizza is same-store-sales (SSS) growth. Growing same-store-sales are ultimately how a restaurant business increases earnings from its existing assets. The company continues to impress in this criterion with SSS having grown in the U.S. for 40 consecutive quarters, and an astounding 109 straight quarters internationally…” (Click here to read the full text)
1. The Walt Disney Company (NYSE:DIS)
Number of Hedge Fund Holders: 112
Shares of The Walt Disney Company rallied over 10 percent before the opening bell today as investors cheered the return of former chief executive officer Bob Iger. The entertainment giant reappointed Iger as CEO on Sunday and the development came as a surprise for many.
Iger, who retired last year, will immediately replace the current CEO Bob Chapek. Iger has tons of experience as he has served The Walt Disney Company for more than four decades.
He plans to lead The Walt Disney Company for two more years. Nevertheless, Iger is returning at a time when the company is facing a lot of challenges. As of Friday’s closing, Disney stock was down more than 40 percent on a year-to-date basis.
Meanwhile, The Walt Disney Company is also preparing for cost cuts to steer through an uncertain economic environment. Moreover, the company’s latest quarterly financial report disappointed investors as both adjusted earnings and sales fell short of expectations.
You can also take a peek at 10 Best European Dividend Stocks To Invest In and 12 Best Consumer Staple Stocks.
Suggested articles:
- 10 Most Valuable Internet Companies Today
- 10 Monthly Dividend Stocks with High Yields
- 10 Best Fundamental Stocks To Invest In
This article is originally published at Insider Monkey.
