10x Genomics (TXG Quick QuoteTXG - Free Report) shares soared 3.9% in the last trading session to close at $176.06. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 14.1% loss over the past four weeks.

The stock rallied for the second consecutive day on optimism surrounding a positive adjustment to IBD’s (Investor's Business Daily) Relative Strength (RS) Rating on May 25. Per the report, the RS rating has been upgraded from 68 to 78. Further, the bullish fiscal 2021 revenue outlook provided by the company indicates sustainable growth.

Price and Consensus

This life science technology company is expected to post quarterly loss of $0.34 per share in its upcoming report, which represents a year-over-year change of +17.1%. Revenues are expected to be $113.3 million, up 164% 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 10x Genomics, the consensus EPS estimate for the quarter has been revised 33% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on TXG 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 >>>>