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Buzz Stocks: Constellation Brands, Inc., Twitter Inc, and Acacia Communications, Inc.

Today's stocks to watch in the news include Constellation Brands, Inc. (NYSE:STZ), Twitter Inc (NYSE:TWTR), and Acacia Communications, Inc. (TWTR:ACIA)

Oct 5, 2016 at 9:45 AM
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U.S. stocks are up, as traders digest the ADP's private-sector employment report, which showed slowing job growth in September. Among specific equities in focus today are alcoholic beverage maker Constellation Brands, Inc. (NYSE:STZ), social media stock Twitter Inc (NYSE:TWTR), and fiber optics specialist Acacia Communications, Inc. (NASDAQ:ACIA).

  • STZ is up 3.3% at $171.28 -- and just off a record high of $173.55 -- after the alcoholic beverage maker delivered an earnings win and raised its fiscal-2017 guidance. Today's bump puts the shares well above the $168 level that acted as a ceiling since the stock's post-earnings bull gap in June, and puts STZ up 30% in the last 12 months. The stock is already beloved by the brokerage bunch, with eight of nine analysts covering Constellation Brands, Inc. rating the shares a "buy" or better, and without a single "sell" to be found.

  • TWTR is up 3.6% at $24.36, as the M&A buzz continues. Specifically, The Wall Street Journal is reporting that the social media stock is preparing to field bids from a host of suitors this week (subscription required), including salesforce.com, inc. (NYSE:CRM), which is largely considered the prime suspect, despite rumors of resistance from CRM's largest shareholder. The M&A rumors have helped TWTR break through the $20-$21 region that capped rallies in March and August, with the stock flirting with year-to-date highs. In the option pits, it looks like bears are coming out to play, with put popularity growing over the last several weeks. TWTR now sports a 10-day put/call volume ratio of 0.51 at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), which sits higher than 92% of all other readings from the past year.

  • ACIA has popped 8.8% to trade at $110.95 so far today, after the fiber optics specialist announced its preliminary quarterly results, raising its guidance for the third quarter and announcing a public offering of 4.5 million shares. ACIA has more than tripled since its initial public offering in May. However, short interest in the stock has also ballooned 41.3% over the last two reporting periods, now accounting for over a quarter of ACIA's float. 

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