Transportadora De Gas Sa Ord B (TGS) Moves 13.3% Higher: Will This Strength Last?
Transportadora De Gas Sa Ord B (TGS) shares ended the last trading session 13.3% higher at $5.89. 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% gain over the past four weeks.
With Russia’s aggressive invasion of Ukraine limiting global energy supplies, higher commodity prices are driving inflation and decelerating the economic recovery. Transportadora de Gas Sa Ord B is least exposed to the commodity price fluctuations as it generates stable fee-based revenues, with its pipeline assets transporting more than 60% of the gas consumed in Argentina.
This company is expected to post quarterly loss of $0.01 per share in its upcoming report, which represents a year-over-year change of -104.2%. Revenues are expected to be $235.22 million, up 23.6% 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 Transportadora De Gas Sa Ord B, the consensus EPS estimate for the quarter has been revised 53.9% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on TGS 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 >>>>
Transportadora De Gas Sa Ord B is a member of the Zacks Oil and Gas - Production and Pipelines industry. One other stock in the same industry, Cheniere Energy Partners, LP (CQP), finished the last trading session 0.6% higher at $51.58. CQP has returned 11.7% over the past month.
Cheniere Energy Partners, LP's consensus EPS estimate for the upcoming report has changed +1.1% over the past month to $0.94. Compared to the company's year-ago EPS, this represents a change of +28.8%. Cheniere Energy Partners, LP currently boasts a Zacks Rank of #3 (Hold).
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