2 Rumors Lighting Up Trading Screens Today

Stocks surged higher Monday, helped in part by bank stocks which continued to report strong earnings. Bank of America was the latest bank to continue the trend as earnings season kicks off. The NASDAQ-100 had its largest one-day gain since late July, notching a 3.5% surge during the session. Amid the action, several rumors swirled around Wall Street. Below we highlighted a couple:

Cano Health (NYSE: CANO) plunged 43% following a report that CVS Health (NYSE: CVS) decided not to pursue a deal to acquire the company. This follows recent reports the two sides were in exclusive talks. Amid the sell-off in Cano on the rumor, a spokesperson for CVS told StreetInsider.com "[W]e don’t comment on rumors or speculation."

Shares of Splunk (NASDAQ: SPLK) gained nearly 6% after the WSJ reported that activist investor Starboard Value now holds a 5% stake in the company. This follows Cisco's (NASDAQ: CSCO) unsuccessful $20 billion bid for the company earlier in the year and private equity firm Hellman & Friedman's 7.5% stake in the company and most recent board representation. Private equity giant Silver Lake also owns a sizable investment in Splunk. Following the latest activist news, a Needham & Company analyst said they now view a buyout as "more likely than not."

By StreetInsider.com Staff

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