U.S. stocks climbed higher Thursday, with the Dow Jones index adding more than 300 points as investors digested a fresh wave of corporate news and analyst upgrades.
The big winner of the day? Penumbra Inc. (PEN), which rocketed higher after Boston Scientific agreed to acquire the medical device company at $374 per share. It's the kind of acquisition that makes shareholders smile: the transaction values Penumbra at approximately $14.5 billion on an enterprise value basis, and shareholders get to choose between cash or Boston Scientific stock. When all the proration math shakes out, the deal will be roughly 73% cash and 27% equity.
Penumbra sweetened the news by releasing preliminary fourth-quarter results that came in stronger than expected. The stock jumped 12.1% to $351.25 on Thursday, though still trading below the acquisition price as these things typically go.
The Rest of Thursday's Winners
Several other stocks posted impressive gains as the broader market rallied. Here's who else caught investors' attention:
Rich Sparkle Holdings Ltd (ANPA) led the pack with a 21.1% surge to $173.48 after announcing the acquisition of Step Distinctive Limited.
AXT, Inc. (AXTI) jumped 16.8% to $25.82, though the company didn't announce specific news driving the move.
Fluence Energy, Inc. (FLNC) rose 13.5% to $25.72 after announcing it will supply its advanced Gridstack Pro energy storage solution for the Pioneer Clean Energy Center. Energy storage continues to be a hot sector as grid infrastructure modernization accelerates.
ImmunityBio, Inc. (IBRX) gained 12.4% to $3.3950 after reporting preliminary fourth-quarter net product revenue of $38.3 million. That's the kind of revenue update that gets biotech investors excited.
Soho House & Co Inc (SHCO) climbed 12.4% to $8.88, while LightPath Technologies Inc (LPTH) rose 12.1% to $14.83.
Calix Inc (CALX) jumped 11.4% to $61.26 after JP Morgan upgraded the stock from Neutral to Overweight and raised its price target from $75 to $90. That's a meaningful vote of confidence from one of Wall Street's major players.
MKS Inc (MKSI) gained 10.4% to $210.04. Wells Fargo analyst Joseph Quatrochi maintained an Equal-Weight rating but raised the price target from $150 to $175, suggesting improving fundamentals even if the analyst isn't ready to go fully bullish yet.
StubHub Holdings Inc (STUB) rose 10.3% to $15.06, riding positive momentum in the live events space.
Entegris Inc (ENTG) gained 10.2% to $114.70 after UBS upgraded the stock from Neutral to Buy and raised its price target from $90 to $145. That's a substantial price target increase that suggests UBS sees significant upside ahead.
Ocular Therapeutix Inc (OCUL) gained 9.9% to $12.17 after reports suggested Sanofi is preparing a revised bid for the company. Nothing gets a stock moving quite like acquisition speculation.
Matson Inc (MATX) gained 9% to $143.84 following the shipping company's announcement of preliminary fourth-quarter results and a positive outlook for 2026. In the shipping industry, forward guidance matters just as much as backward-looking results.
Skywater Technology Inc (SKYT) gained 8.6% to $33.07.
Semiconductor Stocks Catch a Bid
The semiconductor equipment sector had a particularly strong day thanks to a flurry of analyst upgrades.
KLA Corp (KLAC) jumped 8.3% to $1,554.16 after RBC Capital initiated coverage with a Sector Perform rating and a $1,550 price target. But the real catalyst came from Wells Fargo analyst Joseph Quatrochi, who upgraded KLA from Equal-Weight to Overweight and raised the price target from $1,250 to $1,600. That's a substantial increase in conviction.
Applied Materials Inc (AMAT) gained 7.7% to $325.12 after RBC Capital initiated coverage with an Outperform rating and a $385 price target. The semiconductor equipment space continues to benefit from long-term trends in chip manufacturing capacity expansion, even as the industry navigates near-term cyclical concerns.
All told, it was a solid day for risk assets, with M&A activity and analyst upgrades providing plenty of fuel for the rally.
