The month of February is now in the bag, and investors have plenty of reasons to celebrate. Despite the Dow Jones Industrial Average closing slightly lower on Thursday for its third straight daily loss, the index still managed an 11.1% gain in February. That marks the best two-month beginning of a year since 1987 when the Dow Jones soared 16.1% over the same period.
Other bellwether indexes performed similarly well, with the S&P 500 and Nasdaq closing the month up 3% and 3.4%, respectively. After Thursday’s close, the S&P 500 has a year-to-date gain of 11.1%, while the Nasdaq has surged a massive 13.5% since Dec. 31 thanks to a slew of strong earnings reports from tech giants like Facebook Inc. (FB) and Apple Inc. (AAPL).
Here’s a closer look at the specific companies who led the way in February…
No. 5: ConforMIS Inc. (CFMS)
Shares of ConforMIS, a medical company that specializes in knee implants, surged 89.2% during the month of February from $0.65 to $1.23 a share. Peak gains occurred from Feb. 8 to Feb. 20 when CFMS stock rocketed more than 94% from $0.72 to $1.40, the highest close since April 30, 2018.
The likely driver of CFMS’s share-price gains was the company’s strong Q4 earnings reported on Feb. 6. It reported revenue of $22 million, which marked a 6% increase from Q4 2017. Even more impressive was product revenue in the U.S., which climbed 10% year-over-year to 10%. Despite the revenue growth, the latest SEC filings show that institutional ownership of the stock declined by 9.31% as of Feb. 28. Low institutional investment can often indicate that a stock is undervalued, as those institutional investors are prone to focusing on their own analyst ratings more so than fundamentals.
No. 4: Invacare Corp. (IVC)
Invacare stock soared 89.3% from the Jan. 31 close of $5.14 to the Feb. 28 close of $9.73, marking a total year-to-date return of 126.3%. Shares of the healthcare company, which is known for manufacturing power wheelchairs, logged peak gains between Feb. 13 and Feb. 20 when the stock leaped more than 96% from $5.32 to $10.43.
IVC’s biggest gains also stemmed from a strong Q4 earnings report that surpassed analyst estimates. Although the company remains unprofitable, its loss of $0.16 per share in the October-December period surpassed Wall Street expectations by $0.26. Revenue also crushed estimates, with the firm’s $244.6 million in Q4 skating by expectations by $5.36 million.
No. 3: Diebold Nixdorf Inc. (DBD)
Shares of financial technology firm Diebold Nixdorf vaulted 116.2% during the month of February from $4.25 to $9.19 per share. The stock’s biggest rally occurred from Feb. 11 to Feb. 28 when the share price rocketed 87.5% from $4.90 to $9.19. That Feb. 28 price was the highest settlement since July 31 when shares closed at $11.35.
Diebold Nixdorf reported earnings on Feb. 13, which, despite reporting an enormous year-end loss of $7.48 per share, boosted the stock by 39% on the day thanks largely to the company’s plans to restructure around a new program called “DN Now.” The program, according to CEO Gerard Schmid, should increase the firm’s savings to $400 million, up from the previously projected $250 million. That appeared to boost investor sentiment in the stock, which took a more than 58% nosedive in August 2018 and has fought to recover ever since.
No. 2: Electrameccanica Vehicles Corp. (SOLO)
Electrameccanica Vehicles, a Canadian electric-car company, saw its stock skyrocket 212.1% in February from $1.32 to $4.12 per share. Shares of SOLO experienced peak gains of 227.8% over the three-day period from Feb. 11 to Feb. 14 when they climbed from $1.25 to $4.81.
Investors were galvanized to push SOLO stock higher as the company makes strides to bring its fully electric three-wheel vehicle to market. According to reports from Bloomberg, the three-wheeler may eventually pose a threat to Tesla Inc. (TSLA), which has endured a steady stream of corporate controversies ranging from CEO Elon Musk’s quick Twitter fingers to continuous production issues with its Model 3 vehicle.
No. 1: Immune Design Corp. (IMDZ)
The biggest gainer of February is Immune Design Corp, a Seattle-based immunotherapy firm whose shares roared 273.1% higher from $1.56 on Jan. 31 to $5.82 at the close of Feb. 28. Over two days alone from the Feb. 20 close to the Feb. 22 close, IMDZ rallied 310.6% from $1.42 to $5.83, marking the best settlement for the stock since Oct. 9, 2017 when the stock priced at $10.95 per share.
Shares of IMDZ exploded when pharmaceutical behemoth Merck & Co. Inc. (MRK) announced on Feb. 21 that it would acquire Immune Deign for $5.85 per share at a total value of $300 million. That purchase price valued IMDZ stock at a 312% premium to its Feb. 20 closing price of $1.42.