Superior Group (SGC) Surges 7.5%: Is This an Indication of Further Gains?
Superior Group (SGC) shares soared 7.5% in the last trading session to close at $8.35. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 1.6% gain over the past four weeks.
Superior Group’s shares have been gaining on the optimism surrounding efforts to grow its Healthcare Apparel segment. The company is on track to achieve better inventory equilibrium and grow its direct-to-consumer channel in the division. The company’s effective sales strategies in the Branded Products business, bodes well.
This uniform maker is expected to post quarterly earnings of $0.12 per share in its upcoming report, which represents a year-over-year change of -55.6%. Revenues are expected to be $137.93 million, down 0.6% 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 Superior Group, 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 SGC 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 >>>>
Superior Group belongs to the Zacks Textile - Apparel industry. Another stock from the same industry, Ralph Lauren (RL), closed the last trading session 3.8% higher at $116.07. Over the past month, RL has returned -2.5%.
For Ralph Lauren , the consensus EPS estimate for the upcoming report has changed -0.2% over the past month to $1.91. This represents a change of -14.4% from what the company reported a year ago. Ralph Lauren currently has a Zacks Rank of #3 (Hold).
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