Buzz Stocks: Starwood Hotels & Resorts Worldwide Inc, GW Pharmaceuticals PLC, and 3D Systems Corporation

Today's stocks to watch include Starwood Hotels & Resorts Worldwide Inc (HOT), GW Pharmaceuticals PLC - ADR (GWPH), and 3D Systems Corporation (DDD)

Mar 14, 2016 at 9:29 AM
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U.S. stocks are set to follow crude futures lower, bucking the global trend. Among equities in focus are hospitality interest Starwood Hotels & Resorts Worldwide Inc (NYSE:HOT), biotech stock GW Pharmaceuticals PLC - ADR (NASDAQ:GWPH), and 3-D printing concern 3D Systems Corporation (NYSE:DDD).

  • HOT is 7.9% higher in pre-market trading, after the company received an unsolicited buyout offer from a consortium led by China's Anbang Insurance Group Co. Starwood Hotels & Resorts Worldwide Inc is already in a tie-up deal with Marriott International Inc (NASDAQ:MAR), which announced plans to buy HOT for $12.2 billion last November, but Starwood has until this Thursday night to consider other offers. The Anbang-led proposal comes in at $76 a share -- about an 8% premium over HOT's Friday close of $70.42. 
  • Positive results in a late-stage trial of its Dravet syndrome treatment have GWPH surging 109.9% ahead of the bell. GW Pharmaceuticals PLC - ADR said the study showed the cannabis-based product significantly reduced convulsive seizures in children with this rare and severe form of epilepsy -- echoing an encouraging journal article from December. GWPH hit a two-year low of $35.83 just last week, after trending lower for the past eight months, and settled at $38.46 on Friday. And while all six analysts following the stock maintain "buy" or better ratings, short interest is elevated, representing more than 11% of the stock's total float. At GWPH's average pace of trading, it would take over a week to cover all these bearish bets.
  • DDD is set to pop 13.4% at the open, thanks to a stronger-than-expected fourth-quarter earnings report. 3D Systems Corporation has added nearly 33% already in 2016, as of its Friday close at $11.55, and finally broke through resistance at its 80-day moving average last month. Plus, today's expected rally could put the shares atop their 200-day moving average, which has emerged as a speed bump. Option traders have picked up an appetite for long puts of late, with the stock's 10-day put/call volume ratio on the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) sitting higher than 99% of readings from the last year, at 2.80.
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