ACNB (ACNB) Surges 6.5%: Is This an Indication of Further Gains?
ACNB (ACNB) shares rallied 6.5% in the last trading session to close at $43.71. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 6.7% loss over the past four weeks.
The Federal Reserve signaled the end of interest rate hikes this cycle in December 2023 and also indicated three interest rate cuts by 2024-end. A decline in interest rates is likely to result in a greater demand for commercial real estate as well as consumer loans. These favorable developments seem to cheer investors, driving the ACNB stock higher.
This bank is expected to post quarterly earnings of $0.96 per share in its upcoming report, which represents a year-over-year change of -20%. Revenues are expected to be $27.75 million, down 5.8% from the year-ago quarter.
While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.
For ACNB, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on ACNB going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
ACNB is a member of the Zacks Banks - Southwest industry. One other stock in the same industry, Southside Bancshares (SBSI), finished the last trading session 0.7% higher at $30.01. SBSI has returned -7.7% over the past month.
For Southside Bancshares , the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.64. This represents a change of -27.3% from what the company reported a year ago. Southside Bancshares currently has a Zacks Rank of #4 (Sell).
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ACNB Corporation (ACNB) : Free Stock Analysis Report
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