Titan International shares rallied 6% in the last trading session to close at $9.88. 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 9.5% gain over the past four weeks.
Shares of Titan International have appreciated as U.S Soybean futures for May delivery gained 0.13% to $14.23 per bushel on Mar 16. Soybean prices have gone up due to a rain-delayed harvest in top producer Brazil, reduced Argentina crop as a result of dry weather, and near record high Palm Oil and China soybean prices. Corn prices were also 0.9% higher to $554 per bushel as a large sale to China triggered more technical buying. Given that corn and soybeans are the most important grains for cash crop farming in the United States, rising prices will lead to higher farm income and in turn drive Titan International’s top-line performance.
Further, Titan International’s shares have gained following a report from European Agricultural Machinery Association that Business Climate Index for the Agricultural Machinery Industry in Europe has risen to a clear boom level as evident from the +60.0 reading in March. This follows a +51.0 reading in February and marks a major recovery from the all-time low reading of -66.0 in April due to the impact of COVID-19 pandemic. Since then the index has improved and entered the positive territory in October 2020. In March, incoming orders came in at record volume, which has secured a high level of turnover for the coming months. This also bodes well for the company.
Price and Consensus
This wheel and tire supplier is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of +88.9%. Revenues are expected to be $378.44 million, up 10.8% 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 Titan International, the consensus EPS estimate for the quarter has been revised 78.6% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on TWI 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 >>>>
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Titan International (TWI) Stock Jumps 6%: Will It Continue to Soar?
Titan International shares rallied 6% in the last trading session to close at $9.88. 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 9.5% gain over the past four weeks.
Shares of Titan International have appreciated as U.S Soybean futures for May delivery gained 0.13% to $14.23 per bushel on Mar 16. Soybean prices have gone up due to a rain-delayed harvest in top producer Brazil, reduced Argentina crop as a result of dry weather, and near record high Palm Oil and China soybean prices. Corn prices were also 0.9% higher to $554 per bushel as a large sale to China triggered more technical buying. Given that corn and soybeans are the most important grains for cash crop farming in the United States, rising prices will lead to higher farm income and in turn drive Titan International’s top-line performance.
Further, Titan International’s shares have gained following a report from European Agricultural Machinery Association that Business Climate Index for the Agricultural Machinery Industry in Europe has risen to a clear boom level as evident from the +60.0 reading in March. This follows a +51.0 reading in February and marks a major recovery from the all-time low reading of -66.0 in April due to the impact of COVID-19 pandemic. Since then the index has improved and entered the positive territory in October 2020. In March, incoming orders came in at record volume, which has secured a high level of turnover for the coming months. This also bodes well for the company.
Price and Consensus
This wheel and tire supplier is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of +88.9%. Revenues are expected to be $378.44 million, up 10.8% 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 Titan International, the consensus EPS estimate for the quarter has been revised 78.6% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on TWI 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 >>>>