Strength Seen in Euronav NV (EURN): Can Its 5.8% Jump Turn into More Strength?
Euronav NV (EURN) shares ended the last trading session 5.8% higher at $11.67. 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 0.9% loss over the past four weeks.
The stock gained on optimism surrounding increased tanker demand as OPEC and allied oil producers including Russia last month decided to increase crude oil production, albeit modestly, despite the Russia-Ukraine war tensions.
This company is expected to post quarterly loss of $0.27 per share in its upcoming report, which represents a year-over-year change of +22.9%. Revenues are expected to be $78.5 million, down 14.9% 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 Euronav NV, 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 EURN going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Euronav NV is a member of the Zacks Transportation - Shipping industry. One other stock in the same industry, Golar LNG (GLNG), finished the last trading session 1.1% lower at $24.77. GLNG has returned 39.3% over the past month.
Golar LNG's consensus EPS estimate for the upcoming report has changed +2.9% over the past month to $0.25. Compared to the company's year-ago EPS, this represents a change of +400%. Golar LNG currently boasts a Zacks Rank of #1 (Strong Buy).
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