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ClearPoint Neuro, Inc. (CLPT) Surges 7.6%: Is This an Indication of Further Gains?

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ClearPoint Neuro, Inc. (CLPT - Free Report) shares rallied 7.6% in the last trading session to close at $12.60. 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 12.2% gain over the past four weeks.

ClearPoint Neuro recorded a strong price increase before its second-quarter 2022 earnings release with the latest Zacks Consensus Estimate showing significant upward revision for its quarterly revenues compared to the year-ago reported number. The company is expected to release its fiscal first-quarter earnings on Aug 9, 2022. Further, ClearPoint Neuro received the certification for the Medical Device Single Audit Program ("MDSAP") in early-June. Management believes that MDSAP certification will aid the company to advance its growth strategy via global expansion, thus raising optimism.

This company is expected to post quarterly loss of $0.18 per share in its upcoming report, which represents a year-over-year change of -5.9%. Revenues are expected to be $5.16 million, up 51.4% 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 ClearPoint Neuro, 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 CLPT 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 >>>>

ClearPoint Neuro, Inc. is part of the Zacks Medical - Instruments industry. Neuronetics (STIM - Free Report) , another stock in the same industry, closed the last trading session 7.1% lower at $3.38. STIM has returned 41.6% in the past month.

Neuronetics' consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.43. Compared to the company's year-ago EPS, this represents a change of -48.3%. Neuronetics currently boasts a Zacks Rank of #3 (Hold).


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