Why Synta Pharmaceuticals, Herman Miller, and Tower Semiconductor Jumped Today

Thursday featured a solid rebound for the broad stock market on hopes of economic recovery, but these three stocks did much better than major market benchmarks. Find out more about what made these stocks soar.

Mar 20, 2014 at 8:00PM

After yesterday's surprise comments from Fed Chair Janet Yellen regarding the potential for interest rate hikes by next year, many investors weren't sure how stocks would react the morning after. But encouraging economic news from a rise in the Leading Economic Index pointed to a rebound in growth later this year, and stocks responded favorably. Some of the best performers on Thursday included Synta Pharmaceuticals (NASDAQ:SNTA), Herman Miller (NASDAQ:MLHR), and Tower Semiconductor (NASDAQ:TSEM).

Synta jumped 9.5% as the small drugmaker released encouraging study results for its ganetespib treatment for metastatic breast cancer. The good news came on the heels of last week's announcement that ganetespib had been chosen to take part in a breast-cancer trial sponsored by a third-party investigator. The drug has the potential to fight a number of different types of cancer, including ovarian and non-small-cell lung cancer, as well as multiple myeloma. With promising study results, investors will get more excited about Synta's prospects to play a key role in treating cancer patients.

Herman Miller climbed more than 9% after reporting strong earnings last night. Revenue for the maker of office furniture and accessories climbed almost 8% year over year, but the more encouraging news came from a 21% jump in order growth, which stretched across its various business lines and geographical areas it serves. Although some of the growth that Herman Miller saw came from its acquisition of Maharam, which bolstered its Specialty and Consumer segment's results, CEO Brian Walker also highlighted gains in order growth from the U.S. government and key international markets. If economic conditions do, in fact, improve, Herman Miller is in a great position to capitalize.

Tower Semiconductor gained just less than 9% as the tech company said this morning that it had come to an agreement with its bondholders to improve the strength of its finances. Although the corporate structure of Tower's various subsidiaries is complex, the essence of the deal is that various Tower entities will issue new convertible bonds due in late 2018 to refinance bonds due next year. The move will reduce net debt by $55 million and extend its overall maturity, ensuring that Tower will have the financing it needs to support its growth initiatives well into the future.

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4 in 5 Americans Are Ignoring Buffett's Warning

Don't be one of them.

Jun 12, 2015 at 5:01PM

Admitting fear is difficult.

So you can imagine how shocked I was to find out Warren Buffett recently told a select number of investors about the cutting-edge technology that's keeping him awake at night.

This past May, The Motley Fool sent 8 of its best stock analysts to Omaha, Nebraska to attend the Berkshire Hathaway annual shareholder meeting. CEO Warren Buffett and Vice Chairman Charlie Munger fielded questions for nearly 6 hours.
The catch was: Attendees weren't allowed to record any of it. No audio. No video. 

Our team of analysts wrote down every single word Buffett and Munger uttered. Over 16,000 words. But only two words stood out to me as I read the detailed transcript of the event: "Real threat."

That's how Buffett responded when asked about this emerging market that is already expected to be worth more than $2 trillion in the U.S. alone. Google has already put some of its best engineers behind the technology powering this trend. 

The amazing thing is, while Buffett may be nervous, the rest of us can invest in this new industry BEFORE the old money realizes what hit them.

KPMG advises we're "on the cusp of revolutionary change" coming much "sooner than you think."

Even one legendary MIT professor had to recant his position that the technology was "beyond the capability of computer science." (He recently confessed to The Wall Street Journal that he's now a believer and amazed "how quickly this technology caught on.")

Yet according to one J.D. Power and Associates survey, only 1 in 5 Americans are even interested in this technology, much less ready to invest in it. Needless to say, you haven't missed your window of opportunity. 

Think about how many amazing technologies you've watched soar to new heights while you kick yourself thinking, "I knew about that technology before everyone was talking about it, but I just sat on my hands." 

Don't let that happen again. This time, it should be your family telling you, "I can't believe you knew about and invested in that technology so early on."

That's why I hope you take just a few minutes to access the exclusive research our team of analysts has put together on this industry and the one stock positioned to capitalize on this major shift.

Click here to learn about this incredible technology before Buffett stops being scared and starts buying!

David Hanson owns shares of Berkshire Hathaway and American Express. The Motley Fool recommends and owns shares of Berkshire Hathaway, Google, and Coca-Cola.We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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