U.S. markets traded mixed today, despite a better than expected May non-farm payrolls report. The good report sent bond yields higher, which made stock traders a bit nervous.
There was still no word on a resolution to the ECU-Greece debt talks, and that had some traders cautiously taking profits late in the afternoon before the weekend.
U.S. non-farm payrolls increased by 280,000 in May, well above the 225,000 expected by the Street. The unemployment rate increased to 5.5%, as about 93,000 more people entered the labor force. The Street was expecting a rate of 5.4%.
The Dow Jones Industrial Average was off 0.3%, while the S&P 500 shed 0.1%. Only the Nasdaq Composite was in positive territory today, up 0.2%. Sectors were mostly in the red with only energy and financials managing to hold their own.
Despite the overall caution, some stocks still performed well. FireEye Inc (FEYE), Under Armour Inc (UA), and JA Solar Holdings Co., Ltd. (ADR) (JASO) are three of today’s best stocks.
FireEye (FEYE)
Never let a good crisis go to waste! Investors of FEYE stock were feeling much more secure today after the cybersecurity solutions company signed an agreement with Visa Inc (V) this week to develop software security services to help merchants and issuers protect themselves against payment data threats. FEYE stock rose 6.4% on more than 15 million shares.
In recent months, large retailers such as Home Depot Inc (HD) and Target Corporation (TGT) have been the victims of cyber attacks. Even the U.S. government has had its problems recently with unlawful cyber attacks.
A price target increase from $48 to $54 by Nomura Holdings analyst Rick Sherlund was also helping to move FEYE stock today. FEYE came to market as an IPO priced at $20 in September 2013. The stock has more than doubled since then.
Under Armour Inc (UA)
UA stock bolted 4.9% higher today after DA Davidson Companies analyst Andrew Burns upgraded shares of UA from “Neutral” to “Buy,” while maintaining his $91 price target. Burns says that UA will likely raise its guidance during the second half of 2015.
Technicians were cooing about the fact that UA stock had gapped up to once again rise above its 50-day moving average. UA had recently fallen from $88 to $77, and was trading sideways for several weeks before breaking out today.
JA Solar Holdings Co., Ltd. (ADR) (JASO)
JASO stock blasted up 12.2% after receiving a private buyout proposal from JASO Chairman and CEO Baofang Jin and his company, Jinglong Group.
The proposal was to pay $9.69 per American Depositary Share for JASO stock. Each ADS is worth five ordinary shares of the company.
No agreement has yet been reached, and a committee of independent directors will meet to consider Jin’s proposed acquisition. Nevertheless, the proposal alone was enough to send JASO stock, which has fallen some 23% in price since early May, soaring. The stock is now back above its 200-day moving average.
As of this writing, Ethan Roberts does not hold a position in any of the aforementioned securities.
