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Cutera (CUTR) Surges 12.1%: Is This an Indication of Further Gains?

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Cutera (CUTR - Free Report) shares rallied 12.1% in the last trading session to close at $36.13. 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 11.3% gain over the past four weeks.

The upswing in share price can be attributed to Cutera’s expanding footprint in the laser and energy-based aesthetics systems industry is expected to drive top-line growth. The company’s strong portfolio is expected to drive Skincare revenues.

Price and Consensus

Price Consensus Chart for CUTR

 

This maker of laser skin treatments is expected to post quarterly earnings of $0.07 per share in its upcoming report, which represents a year-over-year change of +130.4%. Revenues are expected to be $50.15 million, up 90.2% 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 Cutera, the consensus EPS estimate for the quarter has been revised 63% 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 CUTR 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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