Strength Seen in Capital Product Partners L.P. (CPLP): Can Its 5.5% Jump Turn into More Strength?
Capital Product Partners L.P. (CPLP) shares ended the last trading session 5.5% higher at $15.15. 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 1.1% gain over the past four weeks.
Bullishness surrounding the shipping market is aiding the Capital Product Partners stock. Increased fleet utilization with the uptick in world trade also represents a tailwind. The sharp rise in LNG demand is boosting the stock immensely.
This company is expected to post quarterly earnings of $0.73 per share in its upcoming report, which represents a year-over-year change of -27%. Revenues are expected to be $81.43 million, up 17.2% 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 Capital Product Partners L.P., 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 CPLP 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 >>>>
Capital Product Partners L.P. is a member of the Zacks Transportation - Shipping industry. One other stock in the same industry, Nordic American Tankers (NAT), finished the last trading session 0.8% higher at $3.79. NAT has returned 1.4% over the past month.
Nordic American Tankers' consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.13. Compared to the company's year-ago EPS, this represents a change of +750%. Nordic American Tankers currently boasts a Zacks Rank of #3 (Hold).
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Capital Product Partners L.P. (CPLP) : Free Stock Analysis Report
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