Please ensure Javascript is enabled for purposes of website accessibility

Why Invitae Stock Jumped Today

By Keith Speights - Mar 11, 2021 at 3:15PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

The company unveiled its inaugural ESG report. But the overall rise in growth stocks was its main catalyst.

What happened

Shares of Invitae (NVTA -9.47%) were jumping 11.3% as of 3:05 p.m. EST on Thursday. The medical genetics company announced the issuance of its first environmental, social, and governance (ESG) report earlier in the day. However, the primary catalyst for Invitae was investors' renewed enthusiasm about growth stocks in general, with the Nasdaq Composite index rising 2.6%.

So what

ESG investing has caught on in a major way in recent years. Invitae's focus on sustainability and reducing its environmental footprint no doubt resonates with many investors.

Finger pointing at DNA image

Image source: Getty Images.

But probably even more investors are increasingly bullish about Invitae because they're more optimistic about the overall economy. President Biden's signing of the $1.9 trillion stimulus bill today will likely mean that the U.S. economy will receive a significant boost heading into spring.

Invitae could benefit from the stimulus package at least indirectly. The legislation includes $47.8 billion to improve COVID-19 detection, diagnoses, tracing, and monitoring as well as $1.75 billion related to genomic sequencing, analytics, and disease surveillance. 

Now what

The main thing to watch with Invitae in the coming months is its new product launches and the integration of recent acquisitions. Invitae acquired genomic analysis company ArcherDX in October 2020 and announced the acquisition of microbial genomics leader One Codex last month. 

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Stocks Mentioned

Invitae Stock Quote
$3.44 (-9.47%) $0.36
Nasdaq, Inc. Stock Quote
Nasdaq, Inc.
$142.09 (-4.50%) $-6.70

*Average returns of all recommendations since inception. Cost basis and return based on previous market day close.

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/19/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.