Lakeland Industries, Inc. (NASDAQ:LAKE) is a global manufacturer of industrial protective clothing for healthcare workers, first responders and other workers and citizens. The company recently announced the worldwide availability of its protective apparel for use in handling the Ebola virus. The stock has seen increased trading more than 40% as of late upon discovery of the first case of Ebola in the United States and a report that the U.S. State Department put outa bid for 160,000 hazmat suits, apparently meant for delivery to Africa in an attempt to contain the disease. In afternoon trade on Tuesday, the stock was up nearly 20%.
The market for the suits is bigger as well because many people may not have immediate access to any type of medical solution before an outbreak comes close to them. A hazmat suit can be delivered to anyone who orders one online. Vaccines may be in development and not ready at the time of need. Agencies can prepare right now and order the suits immediately, subject to any backlog of orders as the industry catches up to demand.
Shares of numerous drugmakers, including Tekmira, BioCryst, and Chimerix, have been rallying as the virus has spread throughout the summer. Each of these companies is working on a cure for Ebola, but to date the most popular experimental treatment for the virus is manufactured by privately held Mapp Pharmaceuticals.
Tekmira’s TKM-Ebola has been used to treat at least one patient, but according to the Associated Press, the supply of that drug remains limited.
In contrast, shares of some travel-related companies have been hurt by fears that Ebola will hamper international travel, with numerous European airline and cruise stocks falling after officials confirmed that a nurse in Spain contracted the first case of Ebola outside of West Africa. read more