Who knew investors were such romantics?
Among the top gainers in the S&P/TSX composite index on Monday - Valentine's Day, in case you missed it (the shops are still open, you still have time) - is Harry Winston Diamond Corp. Shares in the Toronto-based diamond miner and high-end jewellery retailer were up more than 5 per cent at last check.
So why are investors so wild about Harry today? After looking around, I've decided that maybe I played Cupid on this one.
An article in Monday's Globe and Mail - whoops, there it is, my byline at the top - highlighted Harry Winston among an assortment of Valentine's-related stocks that might be worth a closer look. In the absence of any obvious news or developments at the company since it named a new chief financial officer a week ago, it looks as though maybe the article prompted some investors to embrace the stock. (Who knew people read this stuff?)
Not to hog all the credit, the Chicago Tribune also gave Harry Winston a very brief plug in an article last week, which reported that jewellery sales are on the rise. The article was picked up over the weekend by numerous U.S. newspapers, including the Los Angeles Times. (Other jewellery stocks are also up Monday, but not nearly as Harry Winston is; Tiffany & Co., for example, is up less than 0.1 per cent.)
And Harry Winston got some other good press in the past week or so, after Black Eyed Peas singer/pop culture phenomenon Fergie wore $2-million of the company's ice in the band's Super Bowl halftime performance, and a couple of analysts expressed renewed enthusiasm about the stock.
Still, that news hadn't done Harry Winston any favours last week, when the stock lost ground for five consecutive days. Monday's surge merely recovered most - but not all - of last week's losses. Could just be that after a week in the doghouse, people thought Harry looked pretty attractive at the new, leaner price - and decided to toss a little Valentine's love his way.