Bryn Mawr Bank shares rallied 14.2% in the last trading session to close at $48.55. 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 20.9% gain over the past four weeks.

The announcement of the merger deal worth $976.4 million between Bryn Mawr and WSFS Financial Corporation drove the stock higher, which touched a new 52-week high of $49.01 in last day’s trading session. Moreover, growing investor optimism over the expectation of an accelerated economic recovery on the back of the extensive vaccination drive, additional government spending, steepening of the yield curve and favorable economic data added to the stock’s rally.

Price and Consensus

This bank holding company is expected to post quarterly earnings of $0.65 per share in its upcoming report, which represents a year-over-year change of +216.1%. Revenues are expected to be $54.68 million, up 0.1% 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 Bryn Mawr Bank, 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 BMTC 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 >>>>