Tekmira Pharmaceuticals, Lakeland Industries: Stocks React To Possible Ebola Case In California

Tekmira Pharmaceuticals Corp TKMR and Lakeland Industries, Inc.’s LAKE shares are on the move on Thursday afternoon, reacting to the news of a patient being treated for possible Ebola symptoms in Sacramento County, California.

According to Dignity Health, the company that runs the first hospital that the patient attended, he is now being treated in the UC Davis Medical Center, which “is specifically equipped to care for patients suspected of having or diagnosed with Ebola as part of the public health department’s preparedness plan.”

Why Are These Stocks Moving?

Tekmira and Lakeland are intimately related to the Ebola problem, and this is why they are reacting to the news so quickly. Canadian Tekmira manufactures a therapeutic targeting the Ebola-Guinea virus. This is why the stock is up about 3.6 percent.

On the opposite (and strangely enough), Lakeland is down roughly 2.65 percent. The company manufactures and sells safety garments and accessories like disposable/limited use protective clothing, high-end chemical protective suits and reusable woven garments, among others. The public seems to be thinking that its products have not been able to limit the advance of the decease, and are thus quite bearish on the stock.

Related Link: The Market Doesn't Fear Ebola: A Technical Look At Lakeland Industries

A Look Back

In 2014, both these stocks moved intensely during the last Ebola event, peaking in the first half of October, before falling to “normal” prices in the second half of the month.

In fact, Tekmira “had similar moves in March and October of last year. Both moves were predicated on the possibility of its vaccine being approved and coming to market.”

Related Link: Will The Rally In Tekmira Pharmaceuticals Hold?

Suddenly being heavily traded, both stocks are reaching about half their 30-day average trading volume by 2:15 PM EST.