FULGENT GENETIC (FLGT) Moves 8% Higher: Will This Strength Last?
FULGENT GENETIC (FLGT) shares ended the last trading session 8% higher at $92.34. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 28.3% loss over the past four weeks.
FULGENT GENETIC scored a strong price increase driven by its encouraging fourth-quarter 2020 results, with adjusted earnings and revenues both surpassing the Zacks Consensus Estimate by 40.6% and 30.8%, respectively. Fulgent Genetics’ revenue guidance for 2021 that projects 90% growth over the year-ago figure also buoys optimism.
Price and Consensus
This company is expected to post quarterly earnings of $3.81 per share in its upcoming report, which represents a year-over-year change of +12800%. Revenues are expected to be $307.5 million, up 3867.7% 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 FULGENT GENETIC, 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 FLGT 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 >>>>
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