We recently published a list of 10 Stocks Lead Monday’s Charge Amid Market Bloodbath. In this article, we are going to take a look at where Capri Holdings Limited (NYSE:CPRI) stands against other stocks that lead Monday’s charge amid market bloodbath.
The stock market kicked off the trading week in a bloodbath, erasing last week’s gains, with all major indices posting heavy losses following President Donald Trump’s confirmation that tariffs on goods from Mexico and Canada are set to take effect on Tuesday.
The tech-heavy Nasdaq posted the biggest loss, down 2.64 percent, followed by S&P at 1.76 percent, and Dow Jones at 1.48 percent.
According to Trump, there was no room left for Mexico and Canada, and his 25-percent tariff for the two countries “will start.” He also signed an additional 10-percent tariff on goods from China.
Despite the market decline, ten companies bucked an overall pessimistic sentiment, making it to the top gainers list mainly due to bullish ratings and earnings performance, among others. In this article, we have detailed the reasons behind their gains.
To come up with Monday’s top gainers, we considered only the stocks with $2 billion in market capitalization and $5 million in daily trading volume.
Nokia Oyj (NYSE:NOK)
Nokia rose by 4.37 percent on Monday to finish at $5.01 apiece as investor sentiment was boosted by its partnership with Verizon and Lockheed Martin that successfully integrated a military-grade 5G technology into the latter’s 5G.MIL Hybrid Base Station.
The integration would enhance the ability to merge commercial 5G connections with military communications systems which is vital for national defense.
In other news, NOK also successfully concluded the $2.3 billion acquisition of Infinera as part of its plans to strengthen its presence in the data center market and ride the booming Artificial Intelligence industry.
On Friday, NOK said the European Commission unconditionally approved its takeover of Infinera. The acquisition paved the way for the Finnish firm to strengthen its presence in both North America and webscale customers.
Following the acquisition, NOK appointed Justin Hotard, formerly head of Intel’s data center and AI group, as its new CEO. He is set to replace Pekka Lundmark.
A glamorous woman with a leather handbag enjoying a shopping experience in an upscale boutique.
Capri Holdings Limited (NYSE:CPRI)
Capri Holdings Limited (NYSE:CPRI) extended its winning streak for a fourth day on Monday, adding 3.87 percent to close at $22.83 apiece following news that Italian fashion giant Prada was moving closer to acquiring the Versace brand.
According to a report by Bloomberg, Prada has agreed to pay nearly 1.5 billion euros or $1.6 billion to acquire Versace which Capri Holdings purchased in 2018 for approximately 1.8 billion euros.
The report, citing people privy to the matter, said that the deal could be finalized as early as this month and that the price and timing could still change.
According to Bloomberg, the acquisition of the company founded by the late designer Gianni Versace would help Prada better compete with global luxury rivals such as LVMH which owns Louis Vuitton, Christian Dior, and Tiffany & Co., as well as Kering SA which owns Yves Saint Laurent, Gucci, Balenciaga, Creed, and Alexander McQueen, among others.
Overall, CPRI ranks 5th on our list of stocks that lead Monday’s charge amid market bloodbath. While we acknowledge the potential of CPRI as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and doing so within a shorter time frame. If you are looking for an AI stock that is more promising than CPRI but trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
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Disclosure: None. This article is originally published at Insider Monkey.
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