Top Consumer Stocks
WMT +0.80%
MCD +0.20%
DIS -0.09%
CVS -1.42%
KO -0.29%
Consumer stocks were broadly higher Monday afternoon, with shares of consumer staples companies in the S&P 500 rising less than 0.3% while shares of consumer discretionary firms in the S&P 500 recently were pushing to a more than 0.9% increase.
Among consumer stocks moving on news:
+ Chinese online retailer Vipshop ( VIPS ) rallied Monday, racing to a more than 49% rise and a session high of $12.60 per American depository share, after forming a strategic cooperative alliance with JD.com ( JD ) and Tencent. The new partners will invest $604 million and $259 million, respectively, in Vipshop, paying $13.08 per ADS - a 15% premium over Friday's closing price for the stock and gaining a 7% and 5.5% equity stake in Vipshop, subject to a two-year lock-up period.
In other sector news:
+ Amplify Snack Brands ( BETR ) shares surged almost 71% on Monday, reaching a 13-month high of $11.95 a share, after accepting a $1.6 billion buyout offer from candy giant Hershey Company ( HSY ), which will pay $12 in cash for each Amplify share. The price tag includes Amplify company debt while Hershey will also pay a $76 million tax bill owed by the seller of SkinnyPop pop corn and other healthy snacks. Hershey is expecting to wring around $20 million in yearly synergies from the deal during the first 24 months after the Q1 planned closing, also boosting its non-GAAP per-share earnings during the first year of combined operations.
+ Choice Hotels International ( CHH ) was higher after the hospitality company acquired the brand and franchise business of WoodSpring Suites from an affiliate of equity investors Lindsay Goldberg for $231 million, adding almost 240 extended-stay units in 35 states to its Choice Hotels portfolio. The company is expecting the transaction to improve its FY18 financial performance, excluding one-time acquisition and integration costs.
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
