In this article, we will take a closer look at where Inari Medical Inc. (NASDAQ:NARI) stands against the other stocks that have seen significant gains in recent days.
Market Update: Mixed Notes from Wall Street
On Monday, Wall Street’s main indices ended their trading session on a mixed note. The Dow Jones Industrial Average was the only decliner, dipping by 0.06 percent or 25.57 points to close at 42,706.56. In contrast, the S&P 500 and Nasdaq Composite both registered gains, up 0.45 percent and 1.24 percent, respectively.
Monday’s Rally Driven by Strong Performances in Emerging Sectors
The overall rally on Monday was largely driven by strong performances in emerging sectors such as bitcoin mining and quantum computing. Ten companies saw notable gains, with their stocks soaring to new heights.
Criteria for Selecting Top Advancers
To come up with the day’s top advancers, we considered only the stocks with at least $2 billion in market capitalization and $5 million in daily trading volume. This ensured that our list consisted of large-cap stocks with significant liquidity, making them more attractive to investors.
Inari Medical Inc. (NASDAQ:NARI) – Monday’s Top Gainer
Inari Medical became Monday’s top gainer, jumping by 30.6 percent to end at $65 each following news that medical device manufacturer Stryker is reportedly in the final stages of negotiations to acquire Inari.
Acquisition Talks with Stryker: Implications and Possibilities
If talks end successfully, an announcement on the acquisition is expected to be made as early as this week. Inari Medical, which has a market value approaching $3 billion, is expected to enhance Stryker’s portfolio by expanding its treatment options for venous thromboembolism (VTE), a condition characterized by blood-vein clotting, and other venous diseases.
Inari’s Decision to Go on Sale: Potential Buyers and Uncertainty
In recent weeks, Inari has signaled intentions to go on sale after receiving acquisition interest from Stryker and other parties. Reports said that other potential buyers could still approach Inari, and there is a possibility that no deal may be finalized with any of the interested parties.
Ranking NARI on Our List
Overall, NARI ranks 1st on our list of the stocks that soared today. While we acknowledge the potential of NARI 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.
Why We Prefer AI Stocks Over NARI
Our preference for AI stocks over NARI can be attributed to several reasons:
- AI stocks have shown tremendous growth potential: With the increasing adoption of artificial intelligence in various industries, AI stocks are poised to deliver higher returns.
- AI stocks offer a shorter investment horizon: Compared to traditional healthcare stocks like Inari Medical, AI stocks provide investors with a shorter investment horizon, making them more attractive for those seeking quick gains.
Alternative Options: The Cheapest AI Stock
If you’re looking for an AI stock that is more promising than NARI but trades at less than 5 times its earnings, check out our report about the cheapest AI stock. This report highlights some of the most exciting AI stocks that are undervalued and offer tremendous growth potential.
Conclusion
In conclusion, while Inari Medical Inc. (NASDAQ:NARI) has shown significant gains in recent days, we believe that AI stocks hold greater promise for delivering higher returns within a shorter timeframe. Our conviction lies in the growing adoption of artificial intelligence across various industries, making it an attractive investment opportunity for those seeking quick gains.
Recommendations
Based on our analysis, here are some recommendations:
- Investors looking for AI stocks should consider the cheapest AI stock: This stock offers tremendous growth potential and trades at less than 5 times its earnings.
- Inari Medical Inc. (NASDAQ:NARI) is a strong contender in the healthcare sector: With its market value approaching $3 billion, NARI has shown significant gains in recent days and may be worth considering for investors seeking exposure to the healthcare sector.
Disclosures
This article is originally published at Insider Monkey.
