The stock market enjoyed modest gains on Monday as investors waited patiently to see if the Federal Reserve would come through with an interest rate cut when it meets later this week. Amid some signs of a slowdown in the U.S. economy and no hint of inflationary pressure, market participants have watched as bonds signaled a high likelihood of lower rates within the next month. That's generally been beneficial for stocks, but some companies also had good news that lifted their share prices even higher. Tesla (NASDAQ: TSLA), C&J Energy Services (NYSE: CJ), and CrowdStrike Holdings (NASDAQ: CRWD) were among the top performers. Here's why they did so well.
No more tweeting for Musk?
Shares of Tesla jumped nearly 5% after CEO Elon Musk tweeted that he would delete a key social media account that has landed him in hot water in the past. Investors in the electric vehicle specialist remember all too well what the fallout was after Musk claimed that he had secured funding to take Tesla private, only to have no deal ensue. Fundamentally, Tesla has seen impressive growth, but investors haven't been entirely satisfied with its performance. Today's gains are helping the stock make up some lost ground from earlier in the year, but it'll take a lot more than deleting a social media account to make shareholders confident in Tesla's long-term prospects.
Image source: Tesla.
C&J gets some energy
C&J Energy Services saw its stock soar 20% after the Houston-based energy company got a buyout bid from an industry peer. Keane Group (NYSE: FRAC) has offered about $746 million to buy C&J, with investors to receive 1.6149 shares of Keane for every C&J share they own. The deal could be beneficial for both companies, because industry conditions have been tough enough that competition among energy services players has been fierce. A merger won't solve the problem of relatively weak demand for drilling rigs and other oil-field services, but it will mean a bit less pressure when bidding on prospective contracts.
CrowdStrike keeps heading higher
Finally, shares of CrowdStrike Holdings picked up 9%. The newly public company, which specializes in helping clients guard against digital attack, soared in its IPO last Wednesday, and CrowdStrike has carried positive momentum ever since. The cybersecurity industry has a lot of upward momentum right now, as threats have only increased as more companies have moved their digital operations into the cloud. With many successful initial public offerings having led to continued rises in their share prices, investors are betting that CrowdStrike can keep climbing indefinitely.
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