Protective gear is the hottest trade in the stock market.
On Monday, shares of Alpha Pro Tech and Lakeland Industries were in rally mode after the second case of Ebola was confirmed in Dallas over the weekend.
On Monday, Lakeland shares closed up 47% while shares of Alpha Pro Tech gained 33%.
Alpha Pro Tech, which now has a market cap of about $US180 million, makes protective face masks and other protective gear, while Lakeland Industries, which has a market cap of about $US160 million, makes hazmat suits.
Shares of both companies have been rallying of late as cases of Ebola have been confirmed in Dallas and Madrid, and on Monday the stocks extended gains after a second confirmed case in Dallas.
Early Sunday, news broke that a healthcare worker in Dallas who treated Thomas Eric Duncan, the first patient treated for Ebola in Dallas who passed away last week, had contracted the virus.
Over the last month, shares of both Lakeland and Alpha Pro Tech have gone completely parabolic, gaining more than 180% each over that period as Ebola cases have spread outside of West Africa.
Back in the summer, the first companies that were part of the “Ebola trade” were drug makers including Tekmira Pharmaceuticals, which is still up more than 100% over the last three months.
Here’s the insane one month chart of both Alpha Pro Tech and Lakeland.