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Pros Holdings (PRO) Moves 5.7% Higher: Will This Strength Last?

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Pros Holdings (PRO - Free Report) shares rallied 5.7% in the last trading session to close at $26.25. 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 1.4% loss over the past four weeks.

Pros Holdings' B2B and travel business is experiencing solid growth as the company is benefitting from the current tailwind in the macroeconomic sector. The company’s services are in demand to manage inflationary pressures, increased market volatility and the shift to digital channels.

This pricing and revenue-management software maker is expected to post quarterly loss of $0.17 per share in its upcoming report, which represents a year-over-year change of -21.4%. Revenues are expected to be $66.67 million, up 6.8% 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 Pros Holdings, 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 PRO 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 >>>>

Pros Holdings is a member of the Zacks Computer - Software industry. One other stock in the same industry, Intuit (INTU - Free Report) , finished the last trading session 4.1% higher at $420.45. INTU has returned 7% over the past month.

Intuit's consensus EPS estimate for the upcoming report has changed +20.8% over the past month to $0.99. Compared to the company's year-ago EPS, this represents a change of -49.8%. Intuit currently boasts a Zacks Rank of #3 (Hold).


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