Why Yelp, LKQ, and Azul Jumped Today
Thursday brought more good news for stock market investors, as major benchmark indexes climbed close to record territory. Investors continue to welcome friendlier talk on the trade front, and moves from the European Central Bank to offer a more accommodative monetary policy seemed to signal that the Federal Reserve might follow suit next week. In addition, some good news from companies in several different areas of the market improved the mood. Yelp (NYSE: YELP), LKQ (NASDAQ: LKQ), and Azul (NYSE: AZUL) were among the day's top performers. Here's why their shares did so well.
Shares of Yelp gained more than 5% on speculation that the company might get an acquired. Reports from The Wall Street Journal indicated that daily deal specialist Groupon (NASDAQ: GRPN) was looking to make a purchase, and that the online review pioneer could be its target. Yelp's stock has essentially gone nowhere during the past five years, and the company has found it challenging to come up with good ways to promote long-term growth. Moreover, it's heavily dependent on advertising-related revenue, which could leave it vulnerable in a recession. Yelp has made progress fundamentally in recent quarters, but some shareholders apparently hope that Groupon will give them a quick payday.
Image source: Yelp.
Source Fool.com
