Corcept Therapeutics Incorporated (NASDAQ:CORT) has joined the S&P SmallCap 600, and as a result, the stocks have jumped 11%.
Currently, Corcept shares are sitting at $17.59, which is up $1.79, or 11.33%, from Wednesday’s close of $15.80. It has reached a high of $18.53 during today’s trading, which is just shy of the company’s all-time peak of $20.72 in October of this year.
The company’s last spike occurred around the time it was planning to announce its third-quarter results (but before it had actually done so). This time around it comes with the news that Corcept has been accepted into the S&P SmallCap 600.
Why is this a big deal? For those of you who aren’t as familiar with the financial world, S&P, or Standard & Poor’s, is the world’s leading index provider and provider of independent credit ratings. Different S&P sectors cover different markets and market caps, including the S&P SmallCap 600, as well as the indexes S&P MidCap 400, S&P 500, S&P Composite 1500, and S&P 900. Each individual index represents the market health based on its sub-sector. Investors will receive a wide range of information when looking into S&P.
Specifically, the S&P SmallCap 600, or just the S&P 600, is an index of certain small-cap stocks that meet specific liquidity and stability requirements. These requirements are determined mainly by public float, market cap, and financial viability. In order to be considered for the S&P SmallCap 600 index, a company must have a market cap between $450 million and $2.1 billion, among other specifications that are required for public float and financial viability.
Joining the S&P SmallCap 600 means that Corcept has met all of these requirements and will now start being evaluated based on very specific performance terms, which is good news for the company as it means that more people will be looking at it now – and already seem to be showing interest in it.
Featured Image: twitter
