Stocks pushed higher again on Tuesday, extending the rebound that marked Monday's trading. Wall Street is recovering from a recent swoon that took the S&P 500 to a new yearly low last week.
Among individual stocks, Akouos ( AKUS ) and AVEO Pharmaceuticals ( AVEO ) both recorded massive gains following separate deals to be acquired.
Looking to the downside, Silvergate Capital ( SI ) lost almost a quarter of its value following the release of disappointing quarterly results. At the same time, Conn’s ( NASDAQ: CONN ) slumped to a new 52-week low following the sudden departure of its top executive.
Standout Gainer
A merger deal prompted a wave of buying in Akouos ( AKUS ). Shares of the hearing loss gene therapy company skyrocketed 88% after Eli Lilly ( LLY ) agreed to purchase the firm.
The deal calls for a purchase price of $12.50 per share in cash, or a total of about $487M. The agreement also includes a contingent value right worth up to another $3 per share.
AKUS closed Tuesday's trading at $13.19, an advance of $6.18 on the day. The stock also reached an intraday 52-week high of $13.35.
Standout Decliner
Silvergate Capital ( SI ) plummeted in the wake of its Q3 earnings report. Dragged down by a disappointing bottom-line figure, the stock fell nearly 23%.
The bank, which focuses on digital assets, reported earnings that rose from both last year and the previous quarter. However, the figure still came in below the amount analysts were predicting.
Meanwhile, use of the firm's real-time payments network dropped from the previous quarter. The Silvergate Exchange Network saw $112.6B in activity compared to a reading of $191.3B in Q2.
Following the earnings news, SI crashed $16.08 to close at $54.71. This added to a downward trend that has marked trading since the first half of August. Still, the stock remained off a 52-week low of $50.65 reached earlier in the year.
Longer-term, SI has retreated 63% since the end of 2021.
Notable New High
AVEO Pharmaceuticals ( AVEO ) received a massive boost from a deal to be acquired by LG Chem ( OTCPK:LGCLF ). Shares jumped 52% on the news, setting a new 52-week high.
Under the planned transaction, LG Chem will pay $15 per share in cash to buy AVEO. The deal has an implied equity value of $566M.
Bolstered by the merger agreement, AVEO finished at $14.92, an advance of $4.44 on the day. During the day, shares also set an intraday 52-week high of $14.95.
Notable New Low
A surprise change in the company's top leadership triggered a selling spree in retailer Conn’s ( CONN ). The stock plunged nearly 15% to reach a new 52-week low.
The firm revealed that Chandra Holt would step down from her role as CEO, effective immediately. She will also resign her board seat, CONN said. In response to the departure, former CEO Norman Miller will take over the chief executive role on an interim basis.
CONN added that it continues to face challenging macroeconomic headwinds. Given this situation, the retailer predicted that its total revenue would drop 21% to 23% in Q3 compared to the previous year.
On the news, CONN slumped to an intraday 52-week low of $6.22. Shares rebound a bit from this level but still closed at $6.91, a decline of $1.20 on the day.
Adding to a sharp retreat seen earlier in the year, CONN is now down about 71% for 2022 as a whole.
Looking for more of the day's biggest winners and losers? Head over to Seeking Alpha's On The Move section .
For further details see:
Hot Stocks: AKUS, AVEO jump on merger deals; SI drops on earnings; CONN plunges on CEO departure