Tuesday was a tough day for the stock market. Oil once again fell below the $30 per barrel mark, and concerns about the global economy continued to weigh on sentiment among investors who have already taken substantial damage during the worst January since the financial crisis in 2009. The Dow Jones Industrials fell almost 300 points and major market benchmarks all fell in the range of 2%, but a few stocks managed to buck the trend and move higher. Among the best performers were Syngenta (NYSE: SYT), Fabrinet ( FN 3.43% ), and Interactive Intelligence ( ININ ).
Syngenta rose 6% in response to the takeover speculation that continued to swirl around the agricultural productivity company. Syngenta has been a target for acquisition from multiple buyers over the past year, but recent reports have suggested that Chinese giant ChemChina is likely to make a bid to buy the company for an estimated $43 billion. Syngenta has long resisted efforts from other industry peers to merge, but consolidation within the agricultural and chemical industry has accelerated in recent months, and that could prompt the company to change its mind. Nevertheless, some obstacles remain before a deal could take place, including concerns that regulators might prevent any deal from taking place because of issues of national security. That explains why the stock hasn't climbed closer to the anticipated bid amount in light of the reports.
Fabrinet climbed 12% after the provider of manufacturing services to makers of electronics reported its fiscal second-quarter results Monday night. The company said that revenue climbed 24% to $233 million, helping GAAP net income to more than double and producing adjusted earnings of $0.50 per share. That topped the consensus estimate among investors, and Fabrinet also said that it expects fiscal third-quarter results to be more promising than most of those following the stock had projected. The company has fared well over the past year, and the gain Tuesday brought the stock's total return since October to more than 50%.
Finally, Interactive Intelligence soared 14%. The company reported its fourth-quarter results Monday night, and they included revenue gains of 16% and adjusted earnings that surpassed expectations by nearly a dime per share. Recurring revenue for the provider of cloud-computing services rose sharply, and CEO Dr. Don Brown said that Interactive Intelligence is seeking to become a "high-velocity cloud company" that can meet the multifaceted needs of its customer base. With its new PureCloud service starting to take off, Interactive Intelligence is excited about the next phase of its evolution, and the company believes that it can keep up with and surpass the increasing number of competitors tackling the cloud-computing space.