Strength Seen in Mirum Pharmaceuticals, Inc. (MIRM): Can Its 8.0% Jump Turn into More Strength?
Mirum Pharmaceuticals, Inc. (MIRM) shares rallied 8% in the last trading session to close at $32.36. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 21.3% gain over the past four weeks.
The sudden rise in the stock price is likely due to the positive investor midset regarding a significant investment made by a top executive at Mirum Pharma, by acquiring several shares of the company. This demonstrates the management's vested belief in the company's potential.
This company is expected to post quarterly loss of $0.66 per share in its upcoming report, which represents a year-over-year change of +35.3%. Revenues are expected to be $32.65 million, up 73.8% 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 Mirum Pharmaceuticals, Inc., 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 MIRM 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 >>>>
Mirum Pharmaceuticals, Inc. belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, Fate Therapeutics (FATE), closed the last trading session 1.3% lower at $2.36. Over the past month, FATE has returned -14.3%.
Fate Therapeutics' consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.58. Compared to the company's year-ago EPS, this represents a change of +32.6%. Fate Therapeutics currently boasts a Zacks Rank of #3 (Hold).
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