Major benchmarks climbed on the last trading day of July, reversing yesterday's losses as more strong corporate earnings reports poured in.

Several individual stocks stood out among today's gainers, including Allison Transmission Holdings (NYSE:ALSN), Naked Brand Group (NASDAQ:NAKD), and Trex (NYSE:TREX). Here's why they did so well.

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Allison Transmission grinds out a record quarter

Shares of Allison Transmission jumped 12.4% after the transmission manufacturer posted stronger-than-expected second-quarter results. Quarterly revenue grew 23% to $711 million, while net income soared to $174 million, or $1.29 per diluted share, up from $0.63 per share in the year-ago period. Both the top and bottom lines arrived far above consensus estimates for earnings of $1.00 per share on revenue of $652.4 million. 

CEO David Graziosi credited higher demand across all end markets, as well as the successful execution of growth initiatives throughout the business.

If that weren't enough, Allison's board approved a $500 million increase to its existing share repurchase authorization, then raised its full-year guidance for net sales to climb in the range of 15% to 18% (up from 10% to 14% previously).

Naked Brand Group cozies up to CVS

Naked Brand Group stock skyrocketed 44.9% following the intimate apparel and swimwear specialist's announcement of a new agreement to place its Heidi Klum Intimates Solutions line in over 4,000 CVS Health locations across the U.S.

CVS will feature the products in its cosmetics department, which typically enjoys the highest foot traffic of any department within its stores. The deal also represents the largest single retail footprint of any Naked Brand Group brand.

"We are pleased to have launched a long-term strategic partnership with CVS Health," stated Naked Brand Group CEO Justin Davis-Rice. "This move greatly diversifies not only our distribution base, but our product offering as well, providing the Heidi Klum Intimates line representation outside of lingerie, but in a complimentary category."

Davis-Rice added that in the first year of the agreement, Naked Brand Group anticipates "significant retail sales" through CVS at gross margins "much higher than our traditional product lines."

Trex builds a solid second quarter

Finally, shares of Trex Company soared 21.3% in the wake of the decking products leader's impressive second-quarter report. Quarterly revenue climbed 31% year over year to $207 million, which translated into a 49% increase in net income to $43 million, or $0.73 per diluted share. Analysts, on average, would have settled for earnings of $0.64 per share on revenue of $191 million. 

"Brand strength, increasing category gains and strong consumer sentiment combined to drive exceptional second quarter growth across key metrics," elaborated CEO James Cline.

Looking ahead, Trex expects third-quarter revenue of $173 million, up 23.4% year over year and comfortably above consensus estimates for sales of $155.9 million.

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