Why these 4 shares are soaring higher today

The S&P/ASX 200 (Index: ^AXJO) (ASX:XJO) has started the week off on a positive note and investors will hope the good run continues after a pretty disappointing string of losses last week.

The main index has managed to climb more than 0.95% at lunchtime, with the materials and financial sectors driving the market higher.

Four shares that have managed to soar even higher today, include:

Slater & Gordon Limited (ASX: SGH)

Shares of Slater & Gordon have managed to climb around 10% today, although investors shouldn’t read too much into today’s move as the shares have been extremely volatile since the law firm announced a $1 billion loss last week. Interestingly, Managing Director, Andrew Grech, purchased 250,000 shares last week (worth around $95,000), perhaps in an effort to show his confidence in the company. Nevertheless, Slater & Gordon remains an extremely risky investment proposition and speculators are likely to determine the direction of the shares over the next few weeks.

Yowie Group Ltd (ASX: YOW)

Shares of Yowie have gained around 7% today after the chocolate company announced it was off to a strong start to the new financial year with the sales results for the month of July being the strongest single month performance on record for the company. Sales in August have also been ahead of expectations thanks to the release of new products and the expansion of Yowie into convenience stores. The shares have been under pressure since the company announced a $32 million capital raising in May, although today’s announcement would have calmed the nerves of some investors.

Pact Group Holdings Ltd (ASX: PGH)

Shares of Pact Group have risen more than 4.3% today after the company announced the acquisition of specialty co-manufacturer, Australian Pharmaceutical Manufacturers (APM), for $90 million. APM is one of the largest providers of manufacturing and packaging services for nutraceuticals in Australia and the acquisition is expected to be earnings per share (EPS) accretive in year one. The deal will be funded by $75 million of bank debt and a share issue of $15 million.

GBST Holdings Limited (ASX: GBT)

Shares of GBST have climbed nearly 4% today after the fintech company announced that it has secured a five-year contract to support a South African client with one of its wealth management software platforms. GBST did not release any specific financial details about the new contract but did note that it was ‘significant’ and would open up new markets for the company. Despite the lack of details, investors will hope the new deal will help to reverse the recent share price action which has seen shares in a strong downtrend since Brexit.

3 Rotten Shares to Sell, and 1 to Buy Today

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Motley Fool contributor Christopher Georges has no position in any stocks mentioned. The Motley Fool Australia has no position in any of the stocks mentioned. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Bruce Jackson.

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