Our analytics identified the following three stocks as some of the top news-based gainers from Wednesday.

Our top plays today are all long trades. The market gained substantial ground on the trading day, but these stocks managed to outpace the red-hot market. Strong cash flows helped these companies stand out in a market environment where overvaluation may become an increasing concern.

As usual, profitable news events can be as mundane as a strong earnings report, or can represent more high profile news. Today’s trading proves that earnings reports alone can drive striking rallies.

1.Electro Scientific (ESIO): First quarter 2018 financials drive double-digit gains.
ESIO Gain Chart

Strong first quarter financials fueled strong upward momentum for Electro Scientific, a manufacturer and researcher of laser technologies for commercial applications.

Revenue was up sharply at $72.7 million, compared to $47.7 million in the first quarter of last fiscal year. The company also moved into a net operating profit; it was operating at a loss at the same time last year.

With sales up over 50% from last year, investors loved the strengthening financial situation at ESIO, buying to the tune of 20% gains in under 24 hours.

 

2.SolarEdge Technologies (SEDG): 17% gains on a strong earnings report.
SEDG Gains Chart

Another strong earnings report drove SEDG to a 17% gain in a single trading day.

SolarEdge provides various support service for solar power operators, with major revenues coming from PV inverters, power optimizers, and module-level monitoring services

These revenues looked especially strong upon Wednesday’s Q2 earnings report, leading investors to buy the stock and drive double digit gains.

Q2 2017 represented an all-time high for revenues and profits for SEDG.

 

3.Take Two Software (TTWO): Already up over 10% on great quarterly results.
TTWO Gain Chart

Video-game maker Take Two registered strong gains after reporting revenues up over 30% from last year. Flagship products like NBA2K17 and Grand Theft Auto V continue to drive excellent sales. TTWO looks to be successfully expanding their monetization models, with earnings from in-game purchases and other “post-purchase” revenue streams up over 70% from last year.

Investors took the evidence of revenue growth as proof of strength going forward, driving the stock up around 13% at the time of this writing.

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