The markets are upbeat this morning with the S&P 500, the Dow and the NASDAQ all in the green. This comes amidst analysts’ projections that the uncertainty that characterized the market since March is easing up. When the COVID-19 lockdowns started, the markets entered into deep uncertainty with corporations suspending their projections for future earnings.
However, this has since changed. Many companies are now offering favourable projections for the rest of the year. Many of them have also proven to be quite resilient and reported strong earnings over the last quarter. With the lockdowns now easing up in the U.S and worldwide, optimism is high that the economy will rebound.
The optimism is further enhanced by the fact that biotech companies, and research institutions, working on a COVID-19 vaccine are giving positive pointers to a possible vaccine before the end of the year.
Treatments are also coming up, and the U.S FDA has already approved the use of plasma in the treatment of COVID-19 citing its high efficiency. In this environment of high optimism in the U.S economy, stocks that have good news around them this morning are gaining exponentially. Some of the biggest stock gainers this morning are:
Aimmune Therapeutics Inc [NASDAQ: AIMT]
Aimmune Therapeutics Inc is a top performer this morning and is up by over 160%. This follows news that Nestle had agreed to buy the company in a $2.6 billion deal. Under the deal, Nestle will buy the company at $34.50 per share, representing a premium compared to the stock’s trading price of $12.60 as of Friday’s close.
In a statement, Nestle stated that Aimmune’s Palforzia is the world’s first and only FDA-approved treatment for peanut reactions in children aged between the ages of four and seventeen. Prior to the takeover, Nestle already owned 26% of Aimmune.
Transatlantic Petroleum Ltd [NYSE: TAT]
Transatlantic Petroleum Ltd is another top performer this morning and is up by 33%. This follows the company’s announcement that its shareholders had approved the payment of dividends on the company’s series A preferred common stock.
The dividends are payable on the 15th of September 2020. This has triggered optimism in the company’s health and hence the current price rally ahead of the upcoming earnings season.
Vivopower International PLC [NASDAQ: VVPR]
Vivopower International PLC is another stock showing lots of potential in early morning trading. After a massive rally on Friday that saw it close the day with gains of 69%, the stock is in the green pre-market. It’s momentum today is price action driven days after the company reported unaudited results showing revenue growth of 12% for the year ending 30th June 2020.