Silk Road Medical (SILK) Stock Jumps 6.7%: Will It Continue to Soar?
Silk Road Medical SILK shares ended the last trading session 6.7% higher at $45.33. 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 1.2% loss over the past four weeks.
Silk Road Medical scored a strong price rise on investors’ optimism surrounding the company’s impressive preliminary third-quarter 2022 financial data. The preliminary estimates show a 51% jump in total revenues from the year-ago period. The company’s preliminary estimated gross margin for the quarter is pegged within the band of 74% and 75%.
This medical device maker is expected to post quarterly loss of $0.44 per share in its upcoming report, which represents a year-over-year change of -10%. Revenues are expected to be $33.84 million, up 37% 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 Silk Road Medical, 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 SILK 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 >>>>
Silk Road Medical is a member of the Zacks Medical - Instruments industry. One other stock in the same industry, Accelerate Diagnostics AXDX, finished the last trading session 3.1% higher at $1.64. AXDX has returned -13.6% over the past month.
Accelerate Diagnostics' consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.21. Compared to the company's year-ago EPS, this represents a change of -40%. Accelerate Diagnostics currently boasts a Zacks Rank of #3 (Hold).
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