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Y-mAbs Therapeutics, Inc. (YMAB) Surges 13.8%: Is This an Indication of Further Gains?

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Y-mAbs Therapeutics, Inc. (YMAB - Free Report) shares soared 13.8% in the last trading session to close at $5.70. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 22.9% gain over the past four weeks.

This marks the second consecutive day of YMAB’s price increase after it announced better-than-expected fourth-quarter earnings which beat both the Zacks Consensus Estimate for earnings and sales. For fourth-quarter 2022, management reported earnings per share of 3 cents against the Zacks Consensus Estimate of a loss of 44 cents. Total revenues of $31.5 million also beat the Zacks Consensus Estimate of $21 million. Management also reiterated its net product revenue guidance of $60-$65 million for Danyelza.

This company is expected to post quarterly loss of $0.44 per share in its upcoming report, which represents a year-over-year change of +31.3%. Revenues are expected to be $14.04 million, up 33.8% 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 Y-mAbs Therapeutics, Inc., the consensus EPS estimate for the quarter has been revised 11.2% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on YMAB 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 >>>>

Y-mAbs Therapeutics, Inc. is part of the Zacks Medical - Biomedical and Genetics industry. Denali Therapeutics Inc. (DNLI - Free Report) , another stock in the same industry, closed the last trading session 1.4% higher at $23.37. DNLI has returned -17.2% in the past month.

Denali Therapeutics Inc.'s consensus EPS estimate for the upcoming report has changed +1% over the past month to -$0.75. Compared to the company's year-ago EPS, this represents a change of -41.5%. Denali Therapeutics Inc. currently boasts a Zacks Rank of #3 (Hold).

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