Why OptimizeRx Corp. (OPRX) Might be Well Poised for a Surge
OptimizeRx Corp. (OPRX) could be a solid choice for investors given the company's remarkably improving earnings outlook. While the stock has been a strong performer lately, this trend might continue since analysts are still raising their earnings estimates for the company.
Analysts' growing optimism on the earnings prospects of this company is driving estimates higher, which should get reflected in its stock price. After all, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements. This insight is at the core of our stock rating tool -- the Zacks Rank.
The five-grade Zacks Rank system, which ranges from a Zacks Rank #1 (Strong Buy) to a Zacks Rank #5 (Strong Sell), has an impressive externally-audited track record of outperformance, with Zacks #1 Ranked stocks generating an average annual return of +25% since 2008.
For OptimizeRx Corp. There has been strong agreement among the covering analysts in raising earnings estimates, which has helped push consensus estimates considerably higher for the next quarter and full year.
Current-Quarter Estimate Revisions
The earnings estimate of $0.27 per share for the current quarter represents a change of +8% from the number reported a year ago.
Over the last 30 days, three estimates have moved higher for OptimizeRx Corp. compared to no negative revisions. As a result, the Zacks Consensus Estimate has increased 134.41%.
Current-Year Estimate Revisions
The company is expected to earn $0.25 per share for the full year, which represents a change of -28.57% from the prior-year number.
In terms of estimate revisions, the trend for the current year also appears quite encouraging for OptimizeRx Corp. Over the past month, three estimates have moved higher compared to no negative revisions, helping the consensus estimate increase 21.85%.
Favorable Zacks Rank
Thanks to promising estimate revisions, OptimizeRx Corp. currently carries a Zacks Rank #2 (Buy). The Zacks Rank is a tried-and-tested rating tool that helps investors effectively harness the power of earnings estimate revisions and make the right investment decision. You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Our research shows that stocks with Zacks Rank #1 (Strong Buy) and 2 (Buy) significantly outperform the S&P 500.
Bottom Line
OptimizeRx Corp. shares have added 20.6% over the past four weeks, suggesting that investors are betting on its impressive estimate revisions. So, you may consider adding it to your portfolio right away to benefit from its earnings growth prospects.
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OptimizeRx Corp. (OPRX) : Free Stock Analysis Report
