We use cookies to understand how you use our site and to improve your experience. This includes personalizing content and advertising. To learn more, click here. By continuing to use our site, you accept our use of cookies, revised Privacy Policy and Terms of Service.
You are being directed to ZacksTrade, a division of LBMZ Securities and licensed broker-dealer. ZacksTrade and Zacks.com are separate companies. The web link between the two companies is not a solicitation or offer to invest in a particular security or type of security. ZacksTrade does not endorse or adopt any particular investment strategy, any analyst opinion/rating/report or any approach to evaluating individual securities.
If you wish to go to ZacksTrade, click OK. If you do not, click Cancel.
EnLink Midstream (ENLC) Stock Jumps 13%: Will It Continue to Soar?
Read MoreHide Full Article
EnLink Midstream (ENLC - Free Report) shares rallied 13% in the last trading session to close at $6. 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 18.8% gain over the past four weeks.
EnLink Midstream extended its rally for the fifth straight day, driven by some positive announcements by the company. On June 3, it provided a series of updates, including an upward revision to full-year net income, adjusted EBITDA and free cash flow after distributions. EnLink Midstream, which gathers, stores, processes, and transports energy resources, also said that it is forming a Carbon Solutions unit to focus on energy transition opportunities. As it is, the rally in crude prices to a multi-year high of around $69 a barrel on the back of calibrated OPEC+ cuts and an upbeat demand forecast has lifted the midstream space and contributed to the strength in the company.
This natural gas company is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of -140%. Revenues are expected to be $1.16 billion, up 55.1% 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 EnLink Midstream, the consensus EPS estimate for the quarter has been revised 75% 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 ENLC going forward to see if this recent jump can turn into more strength down the road.
Image: Bigstock
EnLink Midstream (ENLC) Stock Jumps 13%: Will It Continue to Soar?
EnLink Midstream (ENLC - Free Report) shares rallied 13% in the last trading session to close at $6. 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 18.8% gain over the past four weeks.
EnLink Midstream extended its rally for the fifth straight day, driven by some positive announcements by the company. On June 3, it provided a series of updates, including an upward revision to full-year net income, adjusted EBITDA and free cash flow after distributions. EnLink Midstream, which gathers, stores, processes, and transports energy resources, also said that it is forming a Carbon Solutions unit to focus on energy transition opportunities. As it is, the rally in crude prices to a multi-year high of around $69 a barrel on the back of calibrated OPEC+ cuts and an upbeat demand forecast has lifted the midstream space and contributed to the strength in the company.
This natural gas company is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of -140%. Revenues are expected to be $1.16 billion, up 55.1% 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 EnLink Midstream, the consensus EPS estimate for the quarter has been revised 75% 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 ENLC 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 >>>>