Why Virgin Galactic Holdings, Sanofi, and AutoZone Jumped Today
The stock market once again found itself treading water for much of Tuesday's session. Investors seem to be in a holding pattern as they wait for the latest readings on monetary policy. The Federal Reserve is meeting this week to discuss interest rates, and although most market participants expect no change to result, they're hoping to see signs of what move might come next. That made most investors focus on individual companies, some of which had good news that lifted their shares dramatically. Virgin Galactic Holdings (NYSE: SPCE), Sanofi (NASDAQ: SNY), and AutoZone (NYSE: AZO) were among the top performers. Here's why they did so well.
Shares of Virgin Galactic Holdings rose 7%, extending the stock's winning streak to two days. Tuesday's move looked like follow-on buying following Monday's gains of 16%, which stemmed largely from bullish comments on the space tourism company from analysts at Morgan Stanley. Those analysts gave Virgin Galactic a rating of overweight and set a price target of $22 per share. Investors seem to be focused on the upside potential of the stock if Virgin Galactic can identify a target audience for its services and then execute in a timely, safe, and efficient way. Yet if the company fails, it's entirely possible that investors could lose their entire investment, making Virgin Galactic a risky proposition for typical shareholders.
Image source: Virgin Galactic.
Source Fool.com
