Buzz Stocks: Catabasis Pharmaceuticals Inc, NXP Semiconductors NV, and Cognizant Technology Solutions Corp

Today's stocks to watch in the news include Catabasis Pharmaceuticals Inc (NASDAQ:CATB), NXP Semiconductors NV (NASDAQ:NXPI), and Cognizant Technology Solutions Corp (NASDAQ:CTSH)

Josh Selway

Sep 30, 2016 at 9:37 AM

U.S. stocks are higher this morning, as traders digest key inflation data. Among specific equities in focus are drug stock Catabasis Pharmaceuticals Inc (NASDAQ:CATB), semiconductor firm NXP Semiconductors NV (NASDAQ:NXPI) and IT consultant Cognizant Technology Solutions Corp (NASDAQ:CTSH).

CATB is down 0.8% at $6.20, even after it was revealed high-profile healthcare investor James Flynn took a 4.2% passive stake in the company. This move lower comes after the stock's huge gain on Thursday, although the shares remain on track for a 42% weekly win. Nevertheless, the shares are still in the red on a year-to-date basis, but analysts have remained optimistic. Specifically, all three covering brokerage firms rate Catabasis Pharmaceuticals Inc a "strong buy."
NXPI is up 6.3% at $102.15 -- and fresh off a new annual high of $103.95 -- as investors continue to digest reports that the company is considering selling itself to QUALCOMM, Inc. (NASDAQ:QCOM). The same rumors catapulted the stock 17% higher on Thursday, and now, NXP Semiconductors NV has gained 39% since its most recent low in June. In the options pits, speculators have shown a bias toward long calls over puts of late. At the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), NXPI has a 10-day call/put volume ratio of 1.49, which is higher than 84% of the past year's readings.

CTSH is off 10.7% at $49.09, after the company announced an internal probe into the legality of payments it made to facilities in India. This comes the same morning the company named Rajeev Mehta as its new president. The stock has already struggled this year, down 18.2% in 2016. This underperformance has brought on a fresh wave of short selling, too. In the last two reporting periods alone, short interest on Cognizant Technology Solutions Corp grew by roughly 38%.

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