Luminex shares soared 6.3% in the last trading session to close at $31.78. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 4% gain over the past four weeks.
According to multiple sources, Luminex recorded a strong price increase on optimism surrounding its rumored acquisition deal by the Italian diagnostic company DiaSorin SpA. Also, per a Mar 3 article of Seeking Alpha, Luminex’s consideration of its options (although no final decision has been made yet) has contributed to price appreciation. Market is also upbeat about the company’s receipt of $11.3 million in funding from Biomedical Advanced Research and Development Authority (BARDA) in February, which will aid in the rapid development and validation of a respiratory panel combining Flu A/B & respiratory syncytial virus (RSV) targets with the SARS-CoV-2 target that can be run on all ARIES Systems.
Price and Consensus
This manufacturer of testing systems for biotechnology companies is expected to post quarterly earnings of $0.15 per share in its upcoming report, which represents a year-over-year change of +1400%. Revenues are expected to be $110.11 million, up 21.8% 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 Luminex, the consensus EPS estimate for the quarter has been revised 28.6% 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 LMNX 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 >>>>
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Luminex (LMNX) Surges 6.3%: Is This an Indication of Further Gains?
Luminex shares soared 6.3% in the last trading session to close at $31.78. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 4% gain over the past four weeks.
According to multiple sources, Luminex recorded a strong price increase on optimism surrounding its rumored acquisition deal by the Italian diagnostic company DiaSorin SpA. Also, per a Mar 3 article of Seeking Alpha, Luminex’s consideration of its options (although no final decision has been made yet) has contributed to price appreciation. Market is also upbeat about the company’s receipt of $11.3 million in funding from Biomedical Advanced Research and Development Authority (BARDA) in February, which will aid in the rapid development and validation of a respiratory panel combining Flu A/B & respiratory syncytial virus (RSV) targets with the SARS-CoV-2 target that can be run on all ARIES Systems.
Price and Consensus
This manufacturer of testing systems for biotechnology companies is expected to post quarterly earnings of $0.15 per share in its upcoming report, which represents a year-over-year change of +1400%. Revenues are expected to be $110.11 million, up 21.8% 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 Luminex, the consensus EPS estimate for the quarter has been revised 28.6% 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 LMNX 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 >>>>