Investors always have things to worry about, but the list seems to be getting longer and longer. As the geopolitical climate becomes more complex, stock markets have reacted negatively to the potential disruptions that could result. Adding to losses from last week, the Nasdaq Composite (^IXIC 2.15%) fell another 1.2% on Tuesday as of 12:30 p.m. ET.
However, a couple of noteworthy Nasdaq stocks saw their prices move higher despite the concerns among market participants. Both Krispy Kreme (DNUT 5.12%) and Ocugen (OCGN 4.59%) reported positive news that made shareholders more comfortable about what the future could bring, and below we'll look more closely at what sent both stocks higher.
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Krispy Kreme looks tasty
Shares of Krispy Kreme were up 8% as investors reacted favorably to the latest news from the donut restaurant chain. Krispy Kreme issued its fourth-quarter financial report, which included some appetizing views on the company's future.
Krispy Kreme's numbers for the fourth quarter were generally strong. Revenue climbed nearly 14% year over year despite the year-earlier period having an extra week's worth of results included. Krispy Kreme reversed a year-earlier loss with a modest profit, although on an adjusted basis, earnings of $0.08 per share were down slightly from the fourth quarter of 2020.
Investors were pleased at the progress the company has made financially. Debt levels are nearly 40% lower than they were 12 months ago. Krispy Kreme now boasts more than 10,400 points of access, up 25% from 2020 figures, and sales per distribution hub have climbed at a healthy pace. In general, results are better than they were before the COVID-19 pandemic as well.
Best of all, Krispy Kreme has high hopes for 2022. The company expects sales gains of 11% to 13%, most of which will come from organic sources. Adjusted net income should rise 18% to 24%, producing earnings of $0.38 to $0.41 per share for the year. Those numbers are in line with Krispy Kreme's longer-term goals, and they make the stock look tempting amid the current uncertainty.
Ocugen gets a much-needed go-ahead
Elsewhere, shares of Ocugen jumped 25%. The biopharmaceutical company got good news from the U.S. Food and Drug Administration that will allow it to move forward in pursuing a key research project.
NASDAQ: OCGN
Key Data Points
Ocugen reported late Friday that the FDA had lifted its clinical hold on the COVID-19 vaccine candidate Covaxin. In response, Ocugen intends to keep pushing its clinical trial program for Covaxin forward, with the idea of eventually offering an alternative COVID-19 vaccine for use worldwide.
Investors had been excited throughout much of 2021 about Ocugen's potential to make Covaxin available in the U.S. under Emergency Use Authorization provisions that other COVID-19 vaccines had received. However, in late November the FDA issued a clinical hold, forcing Ocugen to work with regulators to identify and address the deficiencies in the drugmaker's clinical trial process. That news sent Ocugen's stock further downward.
At this point, some believe it might be too late for Ocugen to expect a big positive impact even if it can successfully navigate the FDA process to win approval. Nevertheless, the rest of the world hasn't been as quick to reach a vaccine saturation point, and FDA approval would carry weight with other regulators internationally.
