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Strength Seen in LiveRamp (RAMP): Can Its 6.5% Jump Turn into More Strength?

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LiveRamp (RAMP - Free Report) shares ended the last trading session 6.5% higher at $30.51. 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 10.5% gain over the past four weeks.

The stock is benefiting from the company’s prompt execution of its growth strategy, international expansion and innovation efforts.

This data-services company is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of -122.2%. Revenues are expected to be $139 million, up 16.8% 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 LiveRamp, the consensus EPS estimate for the quarter has been revised 84.2% 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 RAMP 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 >>>>

LiveRamp is a member of the Zacks Technology Services industry. One other stock in the same industry, Aterian , finished the last trading session 6.8% lower at $2.59. ATER has returned -15.2% over the past month.

Aterian's consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.18. Compared to the company's year-ago EPS, this represents a change of +77.5%. Aterian currently boasts a Zacks Rank of #4 (Sell).

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