Monday was a poor day for the stock market, as major benchmarks gave back early gains to finish lower. Investors had to deal with the shock of a negative prediction from Goldman Sachs analysts, who suggested that a global slowdown will likely come in the near future. Yet even with the downbeat forecast, losses were relatively modest, with most benchmarks finishing less than half a percentage point lower. Still, some stocks bucked the trend and finished sharply higher. DryShips (DRYS), PetMed Express (PETS 1.20%), and VF Corp. (VFC -2.55%) were among the best performers on the day. Below, we'll look more closely at these stocks to tell you why they did so well.
DryShips picks up speed
Shares of DryShips gained another 6%, bringing its two-day total gain to more than 20%. The shipping company benefited from the gain in the Baltic Dry Index, which is a key benchmark for day rates for the vessels that DryShips and other players in the industry own. For its part, DryShips has also seen some forward momentum in the charter rates that it has been able to collect, in some cases doubling from year-ago levels. Yet the company has made multiple reverse splits over the past year, and the gains pale in comparison to the more than 99% drop that the stock has suffered as a result of corporate actions and the issuance of new stock. Even if the company ends up being successful, shareholders can't feel confident that they'll be able to share in that success.
Image source: Getty Images.
PetMed Express bounces back
PetMed Express stock soared 18% after the company reported its fiscal second-quarter financial results. The online pet pharmacy specialist said that sales were up almost 10%, and net income jumped by nearly four-fifths from year-ago levels. Rising demand for some of PetMed's highest-margin products helped spur the gains, and the fact that those more favorable revenue figures didn't come from controversial opioid-based medications that some fear might be the subject of abuse helped bolster the pet specialist's reputation. Some still fear the possibility of competition from e-commerce giants, but for now, shareholders are pleased with PetMed's progress.
VF dresses up
Finally, shares of VF Corp. finished 5% higher. The company behind brands like Timberland and The North Face said that revenue was up 5%, driven by sales of Vans shoes and the outdoor and action sports business. Adjusted earnings rose, and the company boosted its outlook for the full 2017 year to expect 6% revenue growth. VF also raised its earnings projections by $0.05 to $3.01 per share, and the company delivered a 10% dividend increase to its shareholders. With its performance, VF managed to overcome the challenges facing retailers in the current environment, and investors hope that will continue into the future.
