Valeant Stock Gaps Higher as Earnings Beat the Street (CRM) touched a fresh record high after announcing a new Google partnership

Managing Editor
Nov 7, 2017 at 10:16 AM
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U.S. stocks are trading modestly higher this morning, with the major equity indexes hitting fresh record highs out of the gate. Among the stocks making moves are drug concern Valeant Pharmaceuticals International Inc (NYSE:VRX), enterprise software provider, Inc. (NYSE:CRM), and drybulk shipping company Diana Containerships Inc (NASDAQ:DCIX). Here's a closer look at what's moving shares of VRX, CRM, and DCIX.

Valeant Pharma Soars on Third-Quarter Earnings Beat

Shares of Valeant Pharmaceuticals are soaring after the company reported a third-quarter earnings beat. VRX is trading 18.2% higher at $14.21, extending a short-term surge on the charts that has the stock poised to take out its 80-day moving average on a daily closing basis for the first time since August.

It's possible that today's early gains are partially driven by some of the weaker bearish hands hitting the exits. Short interest currently represents a decent 11.5% of VRX's float, or 4.7 times the stock's average daily volume. Teams Up with Google, Tags New High

Salesforce stock is moving higher after the company announced a partnership with Google G Suite late Monday. At last check, CRM is up 0.3% at $102.69, after peaking out of the gate at a new record high of $105. Given the stock's impressive year-to-date surge of 50%, it's no surprise to find that 28 of the 30 analysts following CRM call it a "strong buy," while only two carry tepid "hold" recommendations.   

DCIX Rallies Alongside Iron Ore Futures

Diana Containerships stock is rallying higher in step with commodity prices today, with shipping companies catching a lift from rising demand expectations for Chinese iron ore and steel. DCIX shares are trading up 17.4% at $23.70, on pace for a fourth straight daily win. The beaten-down shipping stock's recent bout of strength has pulled its 10-day moving average into a bullish cross with its 20-day counterpart.

Short interest on DCIX rose 8% in the past two reporting periods to hover near multi-year highs. However, at the equity's average daily trading volume, it would take less than a day to buy back all of these bearish bets.




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