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The Bancorp (TBBK) Stock Jumps 5.1%: Will It Continue to Soar?

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The Bancorp (TBBK - Free Report) shares soared 5.1% in the last trading session to close at $19.68. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 8.3% loss over the past four weeks.

The performance of banks is expected to continue improving in the second quarter, given the higher interest rates and a rise in demand for loans. Investors are also bullish about the banking sector on expectations of further interest rate hikes this year. This possibly led to the optimistic stance of the investors, which drove the TBBK stock.

This holding company for The Bancorp Bank is expected to post quarterly earnings of $0.52 per share in its upcoming report, which represents a year-over-year change of +6.1%. Revenues are expected to be $79.99 million, up 0.1% 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 The Bancorp, 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 TBBK 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 >>>>

The Bancorp is part of the Zacks Banks - Northeast industry. Northeast Community Bancorp (NECB - Free Report) , another stock in the same industry, closed the last trading session 0.9% higher at $12.03. NECB has returned 7.4% in the past month.

Northeast Community Bancorp's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.28. Compared to the company's year-ago EPS, this represents a change of -9.7%. Northeast Community Bancorp currently boasts a Zacks Rank of #2 (Buy).


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