A significant surge in large-cap stocks was observed from January 5 to January 9, 2026, driven by increased defense spending, artificial intelligence infrastructure deals, and speculation surrounding potential acquisitions. These elements reshaped the market’s landscape, elevating several stocks to impressive gains. If you hold any of these stocks in your portfolio, you may find yourself in a favorable position.
Among the standout performers, Regencell Bioscience Holdings Limited (NASDAQ:RGC) achieved a remarkable increase of 89.45% during the week. This extraordinary rise highlights the stock’s growing appeal among investors. Similarly, Revolution Medicines, Inc. (NASDAQ:RVMD) experienced a substantial jump of 51.38% following reports that pharmaceutical giant Merck is in discussions to acquire the company, potentially valuing the deal between $28 billion and $32 billion.
The defense sector also saw significant gains, particularly for Kratos Defense & Security Solutions, Inc. (NASDAQ:KTOS), which rose by 36.12% after B. Riley Securities raised its price forecast from $105 to $128. This increase was further fueled by comments from former President Donald Trump, who proposed boosting the 2027 U.S. military budget from $1 trillion to $1.5 trillion.
Another notable performer was AeroVironment, Inc. (NASDAQ:AVAV), which jumped 35.86% after announcing a partnership with Parry Labs to develop Modular Mission Systems for the U.S. Army’s P550 Unmanned Aircraft System (UAS). The agreement underscores the increasing investment in military technology and infrastructure.
In the context of mergers and acquisitions, Karman Holdings Inc. (NYSE:KRMN) saw its stock soar by 33.91% following the announcement of its agreement to acquire Seemann Composites for $220 million. This strategic move highlights ongoing consolidation in the defense and aerospace sectors, which are responding to rising government spending.
On the technology front, Sandisk Corporation (NASDAQ:SNDK) rose by 33.15% after reports indicated plans to double prices for 3D NAND used in enterprise solid-state drives by the first quarter of 2026. Analyst Vijay Rakesh from Mizuho maintained an Outperform rating and adjusted the price forecast from $250 to $410, reflecting strong market confidence.
Another strong performer was Bloom Energy Corporation (NYSE:BE), which gained 30.55% after announcing a new credit agreement with Wells Fargo, establishing a $600 million senior secured multicurrency revolving credit facility maturing in December 2030.
Additionally, Oklo Inc. (NYSE:OKLO) rose by 29.04% following a partnership with Meta to develop a 1.2 gigawatt power campus to support Meta’s data centers. This collaboration exemplifies how tech companies are aligning with energy solutions to meet their operational needs.
Lastly, Applied Digital Corporation (NASDAQ:APLD) increased by 29.48% after reporting second-quarter adjusted earnings and revenue that surpassed estimates. Similarly, Figure Technology Solutions, Inc. (NASDAQ:FIGR) experienced a surge of 29.33% after Keefe, Bruyette & Woods raised its price target from $52 to $62, indicating strong market support.
As these companies continue to perform well, investors may want to evaluate their portfolios to take advantage of these market movements. The combination of defense spending, technological advancements, and strategic mergers is reshaping the investment landscape, creating new opportunities for growth.
