MSA Safety (MSA) Soars 4.2%: Is Further Upside Left in the Stock?
MSA Safety (MSA) shares soared 4.2% in the last trading session to close at $154.15. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 4.4% gain over the past four weeks.
The stock gained primarily on optimism surrounding easing supply chain disruptions and, reduction in raw material costs owing to deceleration in inflation. Improving supply chains and a reduction in raw material inflation is expected to aid the company’s bottom line.
This maker of safety products is expected to post quarterly earnings of $1.46 per share in its upcoming report, which represents a year-over-year change of +13.2%. Revenues are expected to be $420.85 million, up 13% 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 MSA Safety, 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 MSA 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 >>>>
MSA Safety is part of the Zacks Security and Safety Services industry. Resideo Technologies (REZI), another stock in the same industry, closed the last trading session 0.9% lower at $17.42. REZI has returned 8% in the past month.
Resideo Technologies' consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.46. Compared to the company's year-ago EPS, this represents a change of -27%. Resideo Technologies currently boasts a Zacks Rank of #4 (Sell).
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MSA Safety Incorporporated (MSA) : Free Stock Analysis Report
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