Mid-Day Market Update: Proofpoint Jumps Following Acquisition News; Fortuna Silver Mines Shares Slide

Midway through trading Monday, the Dow traded up 0.14% to 34,092.01 while the NASDAQ rose 0.59% to 14,099.52. The S&P also rose, gaining 0.31% to 4,193.06.

The U.S. has the highest number of coronavirus cases and deaths in the world, reporting a total of 32,077,470 cases with around 572,200 deaths. India confirmed a total of at least 17,313,160 cases and 195,120 deaths, while Brazil reported over 14,340,780 COVID-19 cases with 390,790 deaths. In total, there were at least 147,238,540 cases of COVID-19 worldwide with more than 3,110,510 deaths, according to data compiled by Johns Hopkins University.

Leading and Lagging Sectors

Financial shares climbed by 1.1% on Monday. Meanwhile, top gainers in the sector included Jiayin Group Inc. JFIN, up 27%, and Flagstar Bancorp, Inc. FBC, up 8%.

In trading on Monday, consumer staples shares fell 0.9%.

Top Headline

Lennox International Inc. LII reported stronger-than-expected results for its first quarter.

Lennox reported quarterly earnings of $2.27 per share, beating analysts’ estimates of $1.31 per share. The company’s quarterly sales came in at $931.00 million, versus expectations of $790.95 million.

Lennox International raised FY21 adjusted EPS guidance from $10.55-$11.15 to $11.40-$12.00.
The company also raised sales growth guidance from 4-8% to 7-11%.

Equities Trading UP

Proofpoint, Inc. PFPT shares shot up 31% to $172.99. Private equity investment firm Thoma Bravo Advantage inked an agreement to acquire cybersecurity and compliance company Proofpoint in an all-cash transaction valuing Proofpoint at $12.3 billion. Proofpoint also reported better-than-expected Q1 results.

Shares of Reviva Pharmaceuticals Holdings, Inc. RVPH got a boost, shooting 50% to $6.41 after the company announced the full details of its Phase 2 trial evaluating its lead drug candidate, RP5063 (brilaroxazine), for Acute Schizophrenia. Brilaroxazine demonstrated high affinity and selectivity for key serotonin receptors (5-HT1A/2A/2B/7) through its combination of potent affinity and selectivity for target receptors implicated for schizophrenia and its comorbid symptoms.

Ocugen, Inc. OCGN shares were also up, gaining 24% to $11.94 after the White House announced it would immediately make available specific raw materials needed by India to make Covid-19 vaccines. Ocugen’s COVID-19 vaccine partner, India-based Bharat Biotech International Ltd., will charge as much as double its main rival AstraZeneca for its vaccines in India.

Check out these big movers of the day

Equities Trading DOWN

Alliance Resource Partners, L.P. ARLP shares tumbled 8% to $6.03 after reporting quarterly financial and operating results.

Shares of Albertsons Companies, Inc. ACI were down 7% to $17.84 after the company issued weak FY21 earnings guidance.

Fortuna Silver Mines Inc. FSM was down, falling 15% to $6.57. Fortuna Silver Mines and Roxgold entered into a merger agreement.

Commodities

In commodity news, oil traded down 0.7% to $61.68, while gold traded up 0.1% to $1,779.30.

Silver traded up 0.5% Monday to $26.21 while copper rose 2% to $4.4245.

Euro zone

European shares were higher today. The eurozone’s STOXX 600 rose 0.29%, the Spanish Ibex Index rose 0.87% and the German DAX 30 gained 0.12%. Meanwhile, the French CAC 40 rose 0.32% London’s FTSE 100 rose 0.37% and Italy’s FTSE MIB gained 0.52%.

German Ifo Business Climate indicator increased slightly to 96.8 in April from the previous month's level of 96.6. Spain's producer price inflation increased to 6.3% year-over-year in March.

Economics

US durable goods orders rose 0.5% for March.

The Dallas Fed manufacturing index increased 8.4 points to 37.3 in April.

The Treasury will auction 3-month bills and 5-year notes at 1:00 p.m. ET.

Check out the full economic calendar here