Stock Story -
What Happened: Shares of packaged foods company Kellanova (NYSE:K) jumped 22.5% in the pre-market session after the Wall Street Journal reported that Mars (known for M&Ms and Snickers) is in advanced talks to acquire the company (Kellanova). According to sources, "A deal could happen imminently, assuming talks don't fall apart."
Is now the time to buy Kellanova? Find out by reading the original article on StockStory, it's free.
What is the market telling us: Kellanova's shares are not very volatile than the market average and over the last year have had only 3 moves greater than 5%. Moves this big are very rare for Kellanova and that is indicating to us that this news had a significant impact on the market's perception of the business.
The previous big move we wrote about was 4 days ago, when the stock gained 5.6% on the news that the company reported second-quarter earnings results that significantly blew past analysts' organic revenue estimates. Its full-year EPS guidance also outperformed Wall Street's estimates. Notably, during the quarter, the company emphasized that organic revenue growth stood within its long-term target despite the negative impact of adverse currency translation and the 2023 divestiture of its business in Russia. Overall, we think this was a strong quarter that should satisfy shareholders.
Kellanova is up 23.2% since the beginning of the year, and at $71.06 per share, has set a new 52-week high. Investors who bought $1,000 worth of Kellanova's shares 5 years ago would now be looking at an investment worth $1,152.
![Why Is Kellanova (K) Stock Rocketing Higher Today](https://d68-invdn-com.investing.com/content/pica253767ff5d95b8c390c7fb2b514861f.jpeg)