Why CEMEX, S.A.B. de C.V. (CX) Surged on Monday

We recently published an article titled Why Traders Flocked to These 10 Stocks on Monday. In this article, we are going to take a look at where CEMEX, S.A.B. de C.V. (NYSE:CX) stands against the other stocks.

The stock market kicked off the trading week on a mixed note, with two major indices ending in the green, as investors continued to digest more corporate earnings results.

Among the bellwether indices, only the Nasdaq ended in the red, dropping 0.10 percent. In contrast, the Dow Jones grew by 0.28 percent and the S&P 500 inched up by 0.06 percent.

Meanwhile, 10 companies mirrored a broader market optimism, as investors snapped up shares ahead of their first-quarter earnings performance in the next few days.

To come up with the list, we considered only the companies with a $2-billion market capitalization and $5-million trading volume.

Why CEMEX, S.A.B. de C.V. (CX) Went Up On Friday

A pile of cement on the top of the wheelbarrow in construction site.

CEMEX, S.A.B. de C.V. (NYSE:CX)

CEMEX, S.A.B. de C.V. extended its winning streak for a fifth straight day on Monday, adding 4.56 percent to close at $6.19 apiece, as investors took heart from the company’s strong performance and its new CEO’s promise to deliver further profit growth and shareholder value.

In a statement, CEMEX, S.A.B. de C.V. CEO Jaime Muguiro said that he will focus on operational efficiency and follow a disciplined capital allocation strategy. Through the “Project Cutting Edge” cost savings initiative, CX aims to save at least $150 million in recurrent annual EBITDA this year and $350 million by 2027.

The announcement followed CEMEX, S.A.B. de C.V.’s strong earnings performance in the first quarter of the year, with its net income soaring by 189 percent to $734 million from $254 million in the same period a year earlier, driven mainly by the sale of its Dominican Republic operations.

Revenues, on the other hand, dipped by 1 percent to $3.6 billion from $3.9 billion amid higher prices that offset lower volumes.


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This article is originally published at Insider Monkey.