Harmony Biosciences Holdings, Inc. (HRMY Quick QuoteHRMY - Free Report) shares rallied 10.2% in the last trading session to close at $41.90. 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% gain over the past four weeks.

This surge in share price of Harmony Biosciences is attributable to the inclusion of the company’s ticker in the S&P SmallCap 600 with effect from Oct 22. The company will replace Retail Properties of America as the latter is being acquired by Kite Realty Group Trust.

This company is expected to post quarterly earnings of $0.28 per share in its upcoming report, which represents a year-over-year change of +300%. Revenues are expected to be $80.85 million, up 77.3% 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 Harmony Biosciences Holdings, Inc., the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on HRMY 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 >>>>