PetIQ (PETQ Quick QuotePETQ - Free Report) shares rallied 5.8% in the last trading session to close at $39.14. 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 2.8% gain over the past four weeks.

The company signed new credit facilities worth $425 million on Apr 19. The company refinanced its existing credit facilities by signing the new one, which extended maturity, reduced interest rates and increased borrowing capacity. These will help increase the company's operational flexibility.

Price and Consensus

This pet medications and products maker is expected to post quarterly earnings of $0.13 per share in its upcoming report, which represents a year-over-year change of -31.6%. Revenues are expected to be $209.09 million, up 11.9% 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 PetIQ, the consensus EPS estimate for the quarter has been revised 5.3% 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 PETQ 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 >>>>