Stocks Surge Amid Job Market Optimism and Meme Stock Hype

Strategic Insights -

The US job market appeared to slowly be improving in May, prompting stocks to rise on Friday, led by tech shares. The Dow Jones Industrial Average saw a 0.44% increase, while the S&P 500 gained 0.83% and the Nasdaq surged 1.46%. Among the top gainers were meme stocks, including AMC Entertainment, which fell 3% after a share sale. AMC's CEO, Adam Aron, made a case for another capital raise to pursue "value creation opportunities." Other notable gainers included Senseonics, which rose 45.89% after a positive study on its glucose-monitoring system.

Key Takeaways:

  • AMC Entertainment (AMC) sold 12 million new shares to pursue "value creation opportunities" for its retail investors, with a further 25 million shares to be sold next year.
  • Senseonics (SENS) shares surged 45.89% after a study showed positive results for its next-generation continuous glucose-monitoring system.
  • BlackBerry (BB) shares jumped to a nine-year high, with Reddit users driving its rally and the company being mentioned as the second-most on Stocktwits.
  • Workhorse (WKHS) shares dropped 34.21% after analysts at Cowen downgraded the stock from outperform to market perform.
  • Microvision (MVIS) reported a big quarterly loss and sales drop, making it a "battleground stock" according to Jim Cramer.
  • Novavax (NVAX) delayed its plan to seek clearance for its coronavirus vaccine candidate, citing manufacturing delays and clinical-trial results issues.
  • Up Fintech (TIGR) announced a $90 million private placement of convertible notes, with institutional investors subscribing to purchase the notes.
  • Bed Bath & Beyond (BBBY) fell 18.25% after an analyst at Bank of America pulled its rating on the home-goods retailer.
  • BioNTech (BNTX) was granted FDA permission to use its vaccine on adolescents and began testing fully-vaccinated adults over 65 in a new study.
  • DocuSign (DOCU) posted earnings and revenue that exceeded Wall Street expectations, with one analyst calling the quarter "another home run."

Statistics:

  • The Dow Jones Industrial Average rose 151 points, or 0.44%, to 34,728.
  • The S&P 500 gained 0.83% and moved closer to an all-time intraday record high.
  • The Nasdaq surged 1.46%.
  • AMC Entertainment (AMC) stock traded lower after its CEO, Adam Aron, made the case for another capital raise.
  • Senseonics (SENS) shares rose almost 40% on Friday.
  • BlackBerry (BB) shares jumped to a nine-year high, with the company being mentioned as the second-most on Stocktwits.
  • Workhorse (WKHS) shares dropped 34.21% after analysts at Cowen downgraded the stock.
  • Microvision (MVIS) reported a quarterly loss and sales drop.
  • Novavax (NVAX) delayed its plan to seek clearance for its coronavirus vaccine candidate.
  • Up Fintech (TIGR) raised $90 million in a private placement of convertible notes.
  • Bed Bath & Beyond (BBBY) fell 18.25% after an analyst at Bank of America pulled its rating.
  • BioNTech (BNTX) was granted FDA permission to use its vaccine on adolescents.
  • DocuSign (DOCU) posted earnings and revenue that exceeded Wall Street expectations.

Sources:

  • "Stocks rose Friday and tech shares charged higher after the U.S. added fewer-than-expected jobs to payrolls in May..." - TheStreet.com
  • "AMC Entertainment (AMC) stock was trading lower after Chief Executive Adam Aron unveiled plans to sell 12 million new shares to pursue 'value creation opportunities' for its army of retail investors." - TheStreet.com
  • "Senseonics (SENS) shares surged Friday after the medical technology company said it saw positive results from a study evaluating the accuracy and safety of its next-generation continuous glucose-monitoring system." - TheStreet.com
  • "BlackBerry (BB) shares jumped to a nine-year high Thursday as Reddit users continued to talk up the cybersecurity company." - TheStreet.com
  • "Workhorse (WKHS) shares dropped on Friday after analysts at Cowen downgraded the electric-vehicle producer's stock." - TheStreet.com
  • "Microvision (MVIS), which has made it onto the list of so-called meme stocks, reported a big quarterly loss and sales drop." - TheStreet.com
  • "Novavax (NVAX) last month reported a delay in its plan to seek clearance for its coronavirus vaccine candidate to the third quarter." - TheStreet.com
  • "Up Fintech Holding (TIGR), an online brokerage firm focusing on global investors, announced that a consortium of leading institutional investors have subscribed to purchase convertible notes in an aggregate principal amount of $90 million through a private placement." - TheStreet.com
  • "Bed Bath & Beyond (BBBY) fell on Friday after analysts at Bank of America pulled their rating on the home-goods retailer." - TheStreet.com
  • "BioNTech (BNTX) was granted FDA permission to use its vaccine on adolescents and began testing fully-vaccinated adults over 65 in a new study." - TheStreet.com
  • "DocuSign (DOCU) posted earnings and revenue that exceeded Wall Street expectations and gave an upbeat outlook as more companies adopted its electronic signature technology." - TheStreet.com