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Sotera Health Company (SHC) Stock Jumps 6.5%: Will It Continue to Soar?

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Sotera Health Company (SHC - Free Report) shares soared 6.5% in the last trading session to close at $20.15. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 6.8% loss over the past four weeks.

Sotera Health Company recorded a strong price rise on investors’ optimism surrounding its inclusion in the S&P MidCap 400 index. This adjustment was stated to take into effect on Jun 21, 2022, before market open. This addition is part of the S&P Dow Jones Indices’ periodic announcements.

This company is expected to post quarterly earnings of $0.24 per share in its upcoming report, which represents a year-over-year change of -7.7%. Revenues are expected to be $257.74 million, up 2.3% 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 Sotera Health Company, 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 SHC going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Sotera Health Company is a member of the Zacks Medical Services industry. One other stock in the same industry, Biodesix, Inc. (BDSX - Free Report) , finished the last trading session 8.6% lower at $1.33. BDSX has returned 0.3% over the past month.

For Biodesix, Inc., the consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.36. This represents a change of +12.2% from what the company reported a year ago. Biodesix, Inc. currently has a Zacks Rank of #3 (Hold).


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