Simon Leone, CFA, financial analyst at Trinity Investments, provides financial planning and investment advice to large auto companies. Moto Company, the second largest car manufacturer, is planning to renew its IT infrastructure and has sought advice from Simon to finance the project. To better understand the cashflow requirements, Trinity sends Simon the proposal from Diwan Technologies, the company internally selected by Trinity for the project, though the project is yet to be formally awarded. Simon tells her friend, Jack, who handles the IT Sector portfolio about the major contract that Diwan Technologies has secured. Acting on the information, Jack increases his holding of the Diwan Technologies stock. Which of the following statements is/are most likely correct?
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