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Clipper Realty Inc. (CLPR) Stock Jumps 5.1%: Will It Continue to Soar?

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Clipper Realty Inc. (CLPR - Free Report) shares ended the last trading session 5.1% higher at $9.55. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 3.5% loss over the past four weeks.

This increased optimism stems from the recovering fundamentals of its markets and its capacity to leverage growth potential. This REIT focuses on the multifamily residential and commercial properties in the New York metropolitan area, with a portfolio in Manhattan and Brooklyn. Though significantly affected by the pandemic, these markets are now on the revival path, which, in turn, is likely to aid Clipper Realty.

This company is expected to post quarterly funds from operations (FFO) of $0.07 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $31.43 million, up 2.5% from the year-ago quarter.

FFO and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in FFO estimate revisions are strongly correlated with near-term stock price movements.

For Clipper Realty Inc., the consensus EPS estimate for the quarter has been revised 10.5% lower over the last 30 days to the current level. And a negative trend in FFO estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on CLPR 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 >>>>

Clipper Realty Inc. is part of the Zacks REIT and Equity Trust - Other industry. Four Corners Property Trust (FCPT - Free Report) , another stock in the same industry, closed the last trading session 0.9% higher at $29.51. FCPT has returned 10.8% in the past month.

Four Corners Property's consensus FFO per share estimate for the upcoming report has remained unchanged over the past month at $0.42. Compared to the company's year-ago FFO per share, this represents a change of +10.5%. Four Corners Property currently boasts a Zacks Rank of #3 (Hold).


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