Here’s What’s Causing These Stocks To Move Sharply On Thursday

Although it isn’t quite earnings season yet, volatility never sleeps. Investors and traders will always buy and sell on meaningful news and stocks will always move. Given that the stock prices of Endo International plc – Ordinary Shares (NASDAQ:ENDP), Ollie’s Bargain Outlet Holdings Inc (NASDAQ:OLLI), Hanesbrands Inc. (NYSE:HBI), Ionis Pharmaceuticals Inc (NASDAQ:IONS), and DragonWave, Inc.(USA) (NASDAQ:DRWI) have done exactly that and moved sharply on Thursday, let’s uncover the news driving this movement. We’ll also examine relevant hedge fund sentiment toward each stock.

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Leading our list of movers is Endo International plc – Ordinary Shares (NASDAQ:ENDP), which rallied by more than 4% this morning on improving sentiment, though it’s now giving up those gains in afternoon trading. Endo Pharma shares received some bad publicity after the FTC filed a complaint in late March against the company, accusing one of Endo’s units of using pay-for-delay pacts to block the launch of lower-cost generic versions of some of its products. If the FTC wins its suit, Endo could have to disgorge the benefits it received from the pay-for-delay deals. Endo shares rallied this morning partly because fellow troubled pharma giant, Valeant Pharmaceuticals Intl Inc (NYSE:VRX), also made a big upward move this morning. 53 elite funds in our system owned slightly more than one-fifth of Endo International plc – Ordinary Shares (NASDAQ:ENDP)’s outstanding shares at the end of December.

Ollie’s Bargain Outlet Holdings Inc (NASDAQ:OLLI) is 12% in the green after the company reported solid earnings for the fourth quarter of fiscal year 2015. For the quarter, Ollie’s Bargain Outlet Holdings Inc (NASDAQ:OLLI) earned $0.31 per share on revenue of $243.4 million, beating estimates by $0.03 per share and $4.34 million, respectively. Net sales jumped by 21.3% year-over-year while comparable store sales rose by 5%. Net income increased by 33.8%. For fiscal year 2016 ending January 28, 2017, management expects EPS of $0.82-to-$0.84 and revenue of $865 million-to-$875 million, while analysts have estimated $0.76 per share in earnings and $872.3 million in revenue. Eight funds tracked by Insider Monkey owned roughly 1.4% of the company’s float at the end of December.

On the next page we dig into the latest on Hanesbrands, Ionis Pharmaceuticals, and DragonWave.

Ionis Pharmaceuticals Inc (NASDAQ:IONS) shares are 6% in the red today after the FDA placed GlaxoSmithKline plc (ADR) (NYSE:GSK)’s phase 3 trial evaluating IONIS-TTRrx in patients with transthyretin amyloid cardiomyopathy on hold. IONIS-TTRrx is an antisense drug that reduces the production of transthyretin that Glaxo and Ionis are co-developing. The hold isn’t necessarily bad news, however, as the FDA just has questions about study protocol. It is not necessarily indicative of a negative study event. 19 elite funds in our database held $146.22 million worth of Ionis Pharmaceuticals Inc (NASDAQ:IONS)’s shares at the end of 2015.

Hanesbrands Inc. (NYSE:HBI) is roughly 4.5% higher today after the company announced that it will acquire Champion Europe, which owns the trademark for Champion in Europe, the Middle East and Africa. HanesBrands already owns the Champion brand in the Americas, Asia, and Australia. By combining the brand, HanesBrands will have a unified growth platform that will benefit from the increasing global consumer growth for active apparel. The purchase price for the transaction will be 10-times the calendar 2016 earnings before interest, taxes, depreciation and amortization, subject to adjustment for cash, debt and working capital. Given that Champion Europe expects EBITDA for 2016 to be 20 million euros ($22.7 million), the acquisition will likely cost roughly 200 million euros ($227 million). Stephen Mandel‘s Lone Pine Capital was among 42 top funds that held shares of Hanesbrands Inc. (NYSE:HBI) at the end of the fourth quarter.

DragonWave, Inc.(USA) (NASDAQ:DRWI) shares have fallen by nearly 20% after the company announced that it is raising $4.35 million in gross proceeds by selling around 600,000 common shares and issuing warrants to purchase an additional 300,000 common shares at an exercise price of $8.50 per share. The price of the common share and half of the warrant is $7.25. DragonWave will use the money raised for general corporate purposes. Two funds monitored by Insider Monkey held slightly over 1% of DragonWave, Inc.(USA) (NASDAQ:DRWI)’s shares at the end of December.

Disclosure: None