In the wake of the Spanish banking bailout by the European Union and Apple's (AAPL) unveiling of several new products and developments at WWDC, there are three stocks I'm buying now. All of them have demonstrated great short-term prospects.
Ampio Pharmaceuticals (AMPE): Founded in 2010 as the result of a reverse merger, and based in Greenwood Village, Colo., AMPE currently trades in a 52-week range of $2.54/share (its 52-week low) and $9.27/share (its 52-week high). The company reported better-than-expected results for its diabetes-related drug Optina. The news sent the shares up nearly 10% during intraday trading, as the company noted that the drug reduces retinal swelling by roughly 20%.
For AMPE, I'd begin with a small position in the company now and then wait to confirm the results of an upcoming meeting with the FDA that Ampio has scheduled for July. If the meeting goes as well as the company anticipates, the stock could see a rally during the second half of the year.
IntegraMed America (INMD): Founded in 1985, and based in Purchase, N.Y, INMD currently trades in a 52-week range of $6.70/share (its 52-week low) and $13.50/share (its 52-week high). On Monday the company announced its plans to be acquired by Sagard Capital, which intends to take IntegraMed private for roughly $169.5 million or $14.05/share in cash. The stock rose nearly 24% on the news and investors may still be able to acquire a position in the company for a small profit in the coming weeks.
INMD closed Monday's trading at $13.66/share, so my strategy is pretty simple. The difference between the closing price ($13.66) and the purchase price ($14.05) is roughly $0.39/share or 3%, so for those looking to make a 3%-3.3% profit in the short term, I'd be buying shares at these levels or even lower if the stock happens to demonstrate some weakness.
Mercury Computer Systems (MRCY): Founded in 1981, and based in Chelmsford, Mass., MRCY currently trades in a 52-week range of $11.24/share (its 52-week low) and $19.40/share (its 52-week high). The company announced an interesting acquisition as it mapped out plans to buy Micronetics (NOIZ) in an all-cash deal valued at $67.7 million.
I think the acquisition enhances bottom-line numbers for MRCY and may be the break shareholders have been anticipating over the last few months. The stock has fallen from its year-to-date high of $14.96/share to roughly $11.50/share, and investors have been looking for some positive news ever since. The last two quarters have seen an average EPS surprise of 45%, and this acquisition should enhance growth in the coming quarters.