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TEGNA Inc. (TGNA) Soars 7.4%: Is Further Upside Left in the Stock?

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TEGNA Inc. (TGNA - Free Report) shares rallied 7.4% in the last trading session to close at $21.34. 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 7.9% gain over the past four weeks.

The upswing in TEGNA's share price was driven by the company's announcement that it has reached a new carriage agreement with DISH.

TEGNA benefits from accretive acquisitions, continued spike in subscription revenues and resurgence in advertising revenues. The company benefits from a stable subscriber base and higher rates.

This company is expected to post quarterly earnings of $0.55 per share in its upcoming report, which represents a year-over-year change of -52.6%. Revenues are expected to be $769.1 million, down 18% 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 TEGNA Inc., the consensus EPS estimate for the quarter has been revised 3.2% 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 TGNA 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 >>>>

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