NGM Biopharmaceuticals shares ended the last trading session 6.7% higher at $30.16. 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 0.8% loss over the past four weeks.

The company has made significant pipeline progress in 2020 and investors are optmistic on positive updates on the same front.

Price and Consensus

This biotechnology company is expected to post quarterly loss of $0.42 per share in its upcoming report, which represents a year-over-year change of -50%. Revenues are expected to be $21.33 million, down 12.5% 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 NGM Biopharmaceuticals, the consensus EPS estimate for the quarter has been revised 4.6% 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 NGM 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 >>>>