We recently compiled a list of the 10 Firms Shine Amid Market Slump. In this article, we are going to take a look at where Tempur Sealy International Inc. (NYSE:TPX) stands against the other stocks.
Ten companies kicked off this week’s trading on a positive note, defying a broader market pessimism amid growing trade tensions among the US, Mexico, China, and Canada over the retaliation of tariffs on each other’s goods.
On Monday, the Dow Jones lost another 0.28 percent, while the S&P 500 and the Nasdaq Composite both registered steep declines of 0.76 percent and 1.20 percent, respectively. The slump came following President Donald Trump’s announcements that he would slap a 25-percent tariff on Canadian and Mexican goods, while a special 60-percent rate would be taxed on Chinese products.
Ten companies under mixed sectors defied a broader market downturn, leading the charge among market advancers. In this article, we will examine which companies performed well and the factors driving their success.
The list of top advancers only considered the companies with at least $2 billion in market capitalization and $5 million in daily trading volume.
A satisfied customer sleeping on a comfortable bed, bedding products laid out on the bed.
Tempur Sealy International Inc. (NYSE:TPX)
Beddings manufacturer Tempur Sealy International Inc. (NYSE:TPX) grew its share prices on Monday by 5.99 percent to finish at $66.92 apiece as investor sentiment was fueled by optimism that it was moving forward with its planned acquisition of Mattress Firm Inc. for $4 billion.
On Friday, a US Judge in Texas gave his go signal for Tempur Sealy to acquire Mattress Firm, overturning an earlier decision from the Federal Trade Commission (FTC) that had blocked the deal in July last year over concerns that it would hurt consumers, arguing that the takeover violates antitrust laws and would reduce options for US mattress buyers.
Despite the go-signal, the judge, however, emphasized that Tempur Sealy and Mattress Firm cannot close the acquisition deal until February 7, to allow time for FTC to file an appeal.
Tempur Sealy is the world’s largest mattress maker with top brands including Tempur-Pedic, Sealy Posturepedic, and Stearns & Foster. Meanwhile, Mattress Firm, owned by South African retailer Steinhoff International Holdings NV, operates more than 2,300 stores across 49 states.
Overall TPX ranks 6th on our list of the stocks that shone amid market slump. While we acknowledge the potential of TPX 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 TPX but that trades at less than 5 times its earnings, check out our report about the cheapest AI stock.
READ NEXT: 20 Best AI Stocks To Buy Now and Complete List of 59 AI Companies Under $2 Billion in Market Cap.
Disclosure: None. This article is originally published at Insider Monkey.
