While many stocks recorded meaningful gains today, two of them increased by double-digit percentages, and a third rose by a mid-single digit percentage. TESARO Inc (NASDAQ:TSRO) stock climbed more than 20%, while Nimble Storage Inc (NYSE:NMBL) rose nearly 12% and Gogo Inc (NASDAQ:GOGO) increased more than 6%. So what’s affecting all of these stocks?
Tesaro soars on positive drug trial
Shares of TESARO Inc (NASDAQ:TSRO) rose after the company released good news on its chemotherapy side effect drug rolapitant. The drug is meant to prevent nausea and vomiting caused by chemotherapy. Reuters reports (via Yahoo News) that Tesaro’s drug has “achieved statistical significant over standard therapy.”
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The latest trial included 532 cancer patients. TESARO Inc (NASDAQ:TSRO) reported that the most common negative side effects in both groups included loss of appetite, constipation and fatigue. Tesaro said in December that the drug was also found to be effective in for treatment of the chemo side effects in two more late-stage trials. However, the company’s shares declined after those studies because the trials did not show enough of a benefit compared to drugs from competitors.
Nimble Storage rises on analyst upgrade
Shares of Nimble Storage Inc (NYSE:NMBL) climbed today after analyst Richard Kugele of Needham & Company upgraded the stock from Buy to Strong Buy. He slashed his price target for the company, however, cutting it from $62 to $35 per share.
According to Street Insider, the analyst said he believes Nimble Storage Inc (NYSE:NMBL) will grow by more than 50% over the “next several years.” As a result, he thinks the company deserves a premium multiple based on its potential for growth. He notes that the amount of the premium has decreased “since the peak of ‘risk-on’ for thigh-growth names.” However, he still assigns a multiple of 7 times EV / sales. He thinks investors will be attracted by the company’s rapid growth after nervousness in the markets and profit-taking are over.
Gogo jumps on rising revenue
The Chicago Tribune reports that Gogo Inc (NASDAQ:GOGO)’s revenue increased 35% year over year, setting a new record of $95.7 million for the quarter. The aircraft Wi-Fi provider released its latest quarterly earnings results this morning. It posted net losses of 20 cents per share, which was enough to beat analyst estimates of losses of between 24 cents and 26 cents per share.