These 10 Firms Dominated Last Week’s Rally

1. Intra-Cellular Therapies Inc. (NASDAQ:ITCI)

Shares of Intra-Cellular Therapies Inc. (ITCI) rallied by 33.02 percent week-on-week to close at $126.2 versus the $94.87 registered the week prior as investors snapped up its shares after news on Monday that Johnson & Johnson is set to acquire the neurological drugmaker for $14.6 billion.

On Monday, January 13, shares of Intra-Cellular Therapies (ITCI) surged 34 percent alone versus Friday’s stock price, indicating a bullish sentiment among investors.

Johnson & Johnson’s acquisition of the company marks the latest in its string of acquisitions in a bid to drive growth beyond 2025, amid cut-throat competition with other drugmakers for its psoriasis drug Stelara.

With the latest deal, Johnson & Johnson will gain access to Intra-Cellular’s oral drug Caplyta, which was approved to treat schizophrenia and depressive episodes associated with bipolar disorder. The treatment brought in $481.3 million in sales in the first nine months of 2024.

While we acknowledge the potential of ITCI as an investment, our conviction lies in the belief that AI stocks hold greater promise for delivering higher returns and doing so within a shorter timeframe. If you are looking for an AI stock that is more promising than ITCI but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.

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Disclosure: None. This article is originally published at Insider Monkey.