Why Aphria, Reata Pharmaceuticals, and NVIDIA Jumped Today
The stock market jumped higher on Tuesday, buoyed by a couple of favorable trends. Earnings season got off to a positive start, with several high-profile companies giving optimistic assessments of the current state of the U.S. economy. Also, comments from the European Union raised hopes that a U.K. Brexit deal might be forthcoming. Some individual companies had good news to give their shareholders today, and Aphria (NYSE: APHA), Reata Pharmaceuticals (NASDAQ: RETA), and NVIDIA (NASDAQ: NVDA) were among the top performers. Here's why they did so well.
Shares of Aphria soared 24% after the cannabis specialist reported strong fiscal first-quarter financial results. Revenue jumped almost 850% from the year-ago period, and Aphria was able to post a modest profit of 16.4 million Canadian dollars. Even though sales were down slightly from where they were three months ago, Aphria attributed the top-line decline to efforts to focus on higher-margin business lines. The company expects to meet production capacity targets of 255,000 kilos annually once it gets all its facilities fully licensed and operational. Investors seem optimistic that even after a tough time for marijuana stocks, Aphria's strategy of focusing on international growth and value-added products will pay off in the long run.
Image source: Aphria.
Source Fool.com
