Why United States Steel Corporation (X), PVH Corp (PVH) and Juno Therapeutics Inc (JUNO) Are 3 of Today’s Best Stocks

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U.S. markets continued their modest gains from yesterday in the morning before giving those gains back through the afternoon. Strength in energy prices and some good retail earnings led the way.

Cyclical SectorsTraders were also eagerly watching developments in Europe as Greek debt talks continued, but with only modest expectations for a resolution.

U.S. auto sales were up strongly in May, especially for pickup trucks and SUVs. Crude oil was up nearly 2% on the day, giving a boost to several oil drilling stocks, including Transocean Ltd (RIG) and Seadrill Ltd (SDRL).

The Dow Jones Industrial Average was down 0.2%, while the S&P 500 and the Nasdaq Composite were each down 0.1%. Basic materials and energy stocks comprised the strongest sectors today.

Mergers and acquisitions, and even speculative rumors of it continues to send stocks higher on Wall Street these days. United States Steel Corporation (X), PVH Corp (PVH) and Juno Therapeutics Inc (JUNO) are examples of this, and as a result were three of today’s best stocks.

United States Steel Corporation (X)

The last few years have seen an interesting ride for industrial stocks such as U.S. Steel. Shares of X stock have risen from $17 a share in 2013 to a peak of $45 last fall, only to collapse to $20 in February.

But things appear to be on the upswing, as the stock has risen back to the $25 range since then. Yesterday, U.S. Steel announced it completed the acquisition of AK Steel Holding Corporatin’s (AKS) interest in Double Eagle Steel Coating Co.

Additionally, nearly 600 of the 800 employees laid off in March from U.S. Steel’s plant in Fairfield, Alabama, have since returned to work. Another plant in Illinois is seeing similar employment stabilization.

As a result, X stock was up nearly 8% today. But keep in mind that four years ago, X stock sold for $60. One wonders how long it will take for better times to return for this once-prominent U.S. company.

PVH Corp (PVH)

PVH stock gapped 7% higher after reporting first-quarter earnings after Monday’s closing bell of $1.50 a share, beating analysts’ estimates for $1.38 a share. Revenue of $1.88 billion was off 4% from the previous year, but still beat the Street’s view of $1.86 billion.

The international Calvin Klein and Tommy Hilfiger clothing sales were particularly strong, although just the opposite was true for the U.S. sales.

PVH also authorized a three-year stock repurchase program for approximately $500 million. CEO Emanuel Chirico was also talking about paying down debt and then to make some strategic acquisitions. All of this had investors excited about the long-term prospects for the New York-based apparel manufacturer.

PVH stock is up about 20% off its $94 low in mid-March.

Juno Therapeutics Inc  (JUNO)

JUNO stock surged more than 5% higher today after Bloomberg reported that AstraZeneca plc (ADR) (AZN) would consider acquiring a company like JUNO.

That’s all it takes these days for a stock to get a big jolt, and initially JUNO blasted 15% higher before pulling back after the story was modified to clarify that AZN would consider purchasing a company that is developing new cancer therapies to supercharge the immune response of the body to invading cancer cells.

A spokesperson for AZN told Reuters that Juno, which already has a partnership with AZN, was merely cited as an example of the type of science it is seeking. But by then JUNO stock was already off to the races.

As of this writing, Ethan Roberts does not hold a position in any of the aforementioned securities.

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Article printed from InvestorPlace Media, https://investorplace.com/2015/06/why-united-states-steel-x-pvh-and-juno-therapeutics-juno-are-3-of-todays-best-stocks/.

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