SDC - Why SmileDirectClub Avaya Holdings and Sarepta Therapeutics Jumped Today
Friday was a good day on Wall Street, as major benchmarks regained some of the ground they had lost earlier in the week. A solid employment report for September helped to allay fears that a recession might be imminent for the U.S., and investors seemed to feel more comfortable about the long-term prospects for key sectors of the market. Some individual stocks saw strong gains. SmileDirectClub (NASDAQ: SDC), Avaya Holdings (NYSE: AVYA), and Sarepta Therapeutics (NASDAQ: SRPT) were among the top performers. Here's why they did so well.
Shares of SmileDirectClub climbed 7.5% despite getting criticism from a short-selling research company. Hindenburg Research asserted that the dental alignment specialist could see its stock fall as much as 85%, and made several inflammatory claims about SmileDirectClub's business. The tooth-aligner maker issued a statement rebutting the allegations and arguing that it's the victim of a campaign to try to prevent competition from what it terms "SmileDirectClub's disruptive business model." The stock initially fell on the report, but the company's quick and forceful response gave investors more confidence.
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