Stratasys, Globus Maritime, and More: Why Traders Are Piling Into These Stocks
It's a green day on Wall Street as all three major indexes are higher. Among the gainers leading the way are Pyxis Tankers Inc. (NASDAQ:PXS), Globus Maritime Limited (NASDAQ:GLBS), Stratasys Ltd. (NASDAQ:SSYS), Floor & Decor Holdings Inc. (NYSE:FND), and 1-800 FLOWERS.COM Inc. (NASDAQ:FLWS). Let's find out why each stock is surging.
For those of you interested in potentially partly diversifying your portfolio with hedge fund picks, check out the Insider Monkey quarterly newsletter (click the link for more details), which was up 121% since inception in May 2014 through the end of August of this year. Hedge funds are often filled with the best and brightest and have more resources than the typical retail investor.
Nano-caps Pyxis Tankers Inc. (NASDAQ:PXS) and Globus Maritime Limited (NASDAQ:GLBS) are each up over 15% today due to momentum buying. Seeing as how both stocks are relatively low float and have rallied sharply in the past, some traders are buying to chase the previous upward movement. Shares of GLBS may have rallied in the past due to Globus Maritime Limited (NASDAQ:GLBS) regaining listing compliance with the NASDAQ exchange earlier in the week by maintaining the $1 minimum share closing bid price for a minimum of 10 consecutive business days. Similarly, Pyxis Tankers Inc. (NASDAQ:PXS) also achieved the NASDAQ minimum closing bid price rule as of November 1. Although achieving NASDAQ compliance doesn't really affect the fundamentals of both companies, they ensure that both stocks are relatively more liquid than if they weren't listed on a meaningful exchange.
Shares of 3D maker Stratasys Ltd. (NASDAQ:SSYS) are up 16% after the company turned in better than expected third quarter results. Earnings for the period came in at $0.11 per share while revenue was $162 million, both numbers ahead of the Street's estimate of $0.05 per share and $161.61 million. Profits were better than expected in part due to operating margin for the period of 5.1% versus the consensus of $3.3%. Guidance is also better than expected, with management increasing FY 18 adjusted EPS outlook to $0.50-$0.55 from the previous $0.30-$0.50. Revenue for FY18 is seen coming in at $670-$680 million. 12 elite funds were long Stratasys Ltd. (NASDAQ:SSYS) at the end of Q2. Those numbers are out of around 645 fund we track in total. In terms of more recent data, Ken Fisher's Fisher Asset Management owned around 2.9 million shares at the end of September.
Floor & Decor Holdings Inc. (NYSE:FND) shareholders are having a great day as the stock is over 25% in the green due to a strong third quarter report. Adjusted EPS for the period was $0.24 per share while sales came in at $435.9 million, beating the consensus of $0.22 per share and $428.9 million. Sales were stronger than expected due to comparable store sales rising 11.1%. For FY18, management sees adjusted EPS of $0.93-$0.96 and sales of $1.702-$1.71 billion. In terms of analyst commentary, Anthony Chukumba of Loop Capital believes the long story is intact due to the 'beat and reiterate' quarter. Chukumba believes FND will continue to capture market share and has a $45 price target. 14 elite funds were long around $150 million worth of Floor & Decor Holdings Inc. (NYSE:FND) at the end of June.
Speaking of stocks surging due to earnings, 1-800 FLOWERS.COM Inc. (NASDAQ:FLWS) delivered some good news to shareholders after reporting a narrower than expected loss for Q1. The company's loss came in at $0.27 per share versus estimates of $0.29 per share, while sales of $169.5 million comfortably beat the consensus of $165.6 million. Sales rose 7.7% year over year due to double digit growth in the company's BloomNet and 1-800-Flowers busuiness. CEO Chris McCann said, "These results reflect the continuation of several positive trends, particularly the further expansion of the 1-800-Flowers brand’s leadership position in the consumer floral space and the significant order volume growth in our BloomNet business. These trends reflect the investments we have been making to take advantage of market conditions to drive sustainable, accelerated growth.” In terms of hedge fund sentiment, the number of top funds that were long 1-800 FLOWERS.COM Inc. (NASDAQ:FLWS) rose by two quarter over quarter to 13 at the end of Q2. Those funds owned almost $40 million at that time.
Disclosure:None
