Golar LNG (GLNG) Soars 8.3%: Is Further Upside Left in the Stock?
Golar LNG (GLNG) shares soared 8.3% in the last trading session to close at $21.72. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 8.8% loss over the past four weeks.
The uptick was mainly owing to the bullish comments on GLNG by Stifel analysts who are of the view that GLNG's stockprice might get doubled by year-end if certain catalysts materialize.
This operator of carriers for natural gas shipping is expected to post quarterly earnings of $0.49 per share in its upcoming report, which represents a year-over-year change of +22.5%. Revenues are expected to be $66.65 million, up 0.3% from the year-ago quarter.
Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.
For Golar LNG, 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 GLNG going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Golar LNG is part of the Zacks Transportation - Shipping industry. Danaos (DAC), another stock in the same industry, closed the last trading session 0.8% lower at $67.82. DAC has returned 8.7% in the past month.
For Danaos , the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $6.67. This represents a change of -12.1% from what the company reported a year ago. Danaos currently has a Zacks Rank of #2 (Buy).
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Golar LNG Limited (GLNG) : Free Stock Analysis Report
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