The markets are mixed this afternoon. The S&P 500 is hovering between positive and negative territory after testing pre-COVID-19 levels earlier in the day. The price action reflects the sentiment in the market at the moment. On one hand, investors are looking forward to stronger markets after proving to be resilient all through the pandemic.
On the other hand, there are real fears that the markets could be overvalued, especially when considering the weak economic data that has come out recently. This may also explain the rise of the NASDAQ today. This index is tech-heavy and investors have been getting into these stocks for their quality. A company like Amazon is dominant in its industry and is well-capitalized, making it a high potential stock under the current economic environment. The same can be said of the other big tech stocks. In this environment of mixed sentiment, there are stocks that are doing extremely well. Some of the top performers this afternoon are:
RISE Education Cayman Ltd [NASDAQ: REDU]
RISE Education is on the rise this afternoon and is up by 56%. This follows the company’s announcement of strong Q2 results. The company stated that in Q2, it continued with the investments that it started in Q2. The CEO stated some of the investments that they continued in Q2 were in human development. The company continued to hire highly talented people and was specifically targeting people with strong tech skills. The CEO further stated that its franchise learning centers restarted most of their operations in the quarter and that they were now operating at 92% of their operations. The company further added that its revenues had increased by 111.7% in the quarter This was driven by the phased reopening of its franchise learning centers. The company also reported that its marketing revenues, reduced in the quarter mainly due to better utilization of staff.
Aduro Biotech Inc [NASDAQ: ADRO]
Aduro Biotech is another top performer this afternoon and is up by 28%. This is mainly price action at play. The stock has been trading in a range for weeks now and was bond to break out in any direction. The upside breakout on high volumes points to a stock that is picking up as optimism in the equity markets rise. Given the strong performance of biotech stocks recently, this stock could see its value keep growing.
GrowGeneration Corp [NASDAQ: GRWG]
GrowGeneration Corp is another top performer today after releasing strong Q2 results. The company announced that in Q2,, revenues increased by `123% compared to a similar quarter in Q2 of 2019. Gross profits also increased by 99% in the quarter when compared to Q2 of 2019. These strong metrics could give this stock upside momentum throughout the week.