3 Stocks Shaking the Market

Some stocks are one-hit wonders, making a big splash when they first appear, then quickly fizzling into obscurity or oblivion. But for other stocks, that initial big move is only a preview for even bigger and better gains to come.

Today, we've listed three stocks that made some of the biggest upward moves over the past month, which we'll pair with the ratings issued by our Motley Fool CAPS community. The higher each stock's rating, the greater CAPS members' faith in that company's ability to keep on beating the market.

1-Month % change from July 16 to Aug. 18.

As the markets whipsaw to changes in changes to second half economic performance, the S&P 500 has been volatile. So before we get shaken out again, let's see why the CAPS community thinks some of these companies might continue to outperform the market.

A mighty temblor
With the economy seen as standing on exceptionally wobbly legs, there are few drivers that can move stocks higher. It's either going to take blowout earnings like those JinkoSolar posted, or your going to have to have your stock be the target of a takeover.

Last week it was the bidding war between Dell (Nasdaq: DELL) and Hewlett-Packard (NYSE: HPQ) that broke out over virtualization specialist 3Par that caused its stock to surge higher. The week before Cypress Bioscience (Nasdaq: CYPB) getting a buyout offer from an investment management firm (that it ultimately rejected as too low) that caused its shares to jump.

This week the M&A attention showered on both Allis-Chalmers Energy and Potash pushed their respective shares higher. Oilfield services provider Allis-Chalmers scored a bid that offered an 85% premium to its closing price the day before from Seawell, the offshore drilling subsidiary of SeaDrill (Nasdaq: SDRL). The combined company would have an estimated $1.3 billion in revenues this year.

With a $4.25 offering price for Allis-Chalmers, CAPS members like StocksForCash feel there's some arbitrage profits to be made as shares currently trade below $4 each. But merger arbitrage is a risky game and among other things, this deal is predicated on Seawell raising at least $100 million in equity financing and getting its shares listed on the Oslo or London stock exchanges. That could be part of the reason for Allis-Chalmers lower share price.

Potash, on the other hand, apparently has no such worries as BHP Billiton offer a sweet $40 billion for the company and Rio Tinto mulls whether to up the ante.

All-Star CAPS member LatePlay says little is in doubt about the outcome, only who wins and what they pay.

1. POT will be sold.
2. The buyer will pay a premium.
3. Refer to 1 & 2

A speedy opportunity
JinkoSolar Holdings is a new solar shop on the market, listing on the New York Stock Exchange just this past May, but its earnings report that far exceeded analyst expectations -- even when removing gain made on currency derivative contracts -- suggests there are more sunny days ahead for this solar wafer maker.

mrJuanD terms Jinko a "new green superpower," but the CAPS community isn't so sure with just 57% thinking it will outperform the market. It's low, one-star rating indicates they believe there are probably better places for your money today, perhaps after the wafer maker puts some experience under its belt and posts a few consecutive quarters of results.

Why not let the sun shine on your views on the JinkoSolar Holding CAPS page.

Shake, rattle, and roll
With these stocks shaking the market this past month it pays to start your own research on them at Motley Fool CAPS. Read a company's financial reports, scrutinize key data and charts, and examine the comments your fellow investors have made all from a stock's CAPS page.