Mackinac Financial Corporation shares ended the last trading session 8.1% higher at $15.27. 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 13.5% gain over the past four weeks.
Investor optimism over the expectation of an accelerated recovery of the banking industry drove the stock higher, which touched its new 52-week high of $15.58 in last day’s trading session. The increased optimism could be attributed to the steepening of the yield curve, the extensive vaccination drive, additional government spending and favorable economic data.
Price and Consensus
This company is expected to post quarterly earnings of $0.28 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $15.7 million, up 2.4% 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 Mackinac Financial Corporation, 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 MFNC 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 >>>>