Shares of Axsome Therapeutics (NASDAQ: AXSM) were soaring 12.7% higher as of 11:19 a.m. ET on Thursday. The company didn't report any new developments, so what's behind the nice gain? There are two potential catalysts at the top of the list.

Perhaps the most likely explanation for Axsome jumping today is that large institutional investors could be buying the biotech stock. Another possibility is that some short-sellers are covering their positions, creating upward pressure on the share prices in the process.

Axsome Therapeutics shareholders should be especially encouraged if institutional investors are increasing their stakes in the company. Where the big money goes, more money typically follows.

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Source Fool.com