Precision Drilling Corporation (PDS) just hit a fresh high breaching the psychologically-important $10 per share mark for the first time. This level is also close to the 52 week high for Precision Drilling which has added roughly 21% in the last 12 weeks, suggesting that decent momentum is present in PDS.
But after this fresh 52 week high and the positive price momentum, investors have to be wondering if Precision Drilling can continue this march higher or if a pullback is overdue. We think that the answer might lie in the recent earnings estimate revision activity that is taking place in PDS.
According to our research, Precision Drilling has seen pretty positive earnings estimate revision activity lately, which means that analysts are becoming more bullish on the company’s prospects. In fact, 6 estimates have gone higher in the past two months, compared to no downward revision, while the consensus estimate has moved in the right direction as well.
We actually give PDS a Zacks Rank #1 (Strong Buy) based on this information and think that the move higher for this company might have some room left to run. So while trading has certainly been good lately, estimates suggest that there might be more to come and that there is still time to get in on this buy ranked stock for more gains in the near term.
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