Despite rather weak price action in today’s market, there are certain pockets of stocks that are outperforming. Right now, biotech is one of the sectors many investors are looking at. In this sector, certain microcaps like Lexaria Bioscience (NASDAQ:LEXX) are outperforming today. LEXX stock has soared more than 18% so far on heavy volume.
Now, it should be noted that Lexaria is a penny stock. Even after today’s impressive rise, the company is still worth less than $25 million. Accordingly, this is a high-risk, high-reward stock pick.
That said, these kinds of moves are precisely the reason investors own biotech stocks. The potential for a surge of 20% or more in a given day is why investors often own baskets of these names. Most of these moves come amid newly released data, precisely the type of news driving LEXX higher right now.
So, let’s dive into the study resulting in newfound interest for Lexaria today.
The post Why Is Lexaria Bioscience (LEXX) Stock Up Today? originally appeared at InvestorPlace.