The S&P/ASX 200 (Index: ^AXJO) (ASX: XJO) has rebounded from yesterday's horror show and is up 0.9% to 5,888 points in afternoon trade.
Four shares which have climbed more than most today are listed below. Here's why they have surged higher:
The A2 Milk Company Ltd (ASX: A2M) share price has bounced back with a 5.5% gain to $8.19. The dairy company's shares fell sharply yesterday and bargain hunters appeared more than happy to snap them up at a cheaper price. I continue to believe that a2 Milk Company would be a great buy and hold investment.
The Auscann Group Holdings Ltd (ASX: AC8) share price has rocketed 25% higher to $1.57. Almost all of Australia's medicinal cannabis shares are posting strong gains today as investors return to risk assets. Overnight Canadian cannabis giants Canopy Growth Corp and Aurora Cannabis both surged higher on the Toronto stock exchange. Combined, the two companies added almost C$2 billion to their market capitalisations.
The Galaxy Resources Limited (ASX: GXY) share price is up 11% to $3.20. With investors returning to risk assets again following yesterday's decline, lithium miners like Galaxy have rebounded very strongly. And while I think Galaxy could be a great investment in the resources sector, it is certainly a high risk one and probably unsuitable for most retail investors.
The Idp Education Ltd (ASX: IEL ) share price has jumped almost 18% to $6.81 after the education services provider released its half-year results. According to the release, IDP Education delivered a 27% increase in first-half net profit after tax to $30.5 million. This was driven largely by the performance of its English Language Testing segment. Segment revenue grew 25% to $148.4 million thanks to a 28% increase in the number of tests being taken. I think IDP Education could be worth a closer look after this impressive result.
