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Strength Seen in IDEAYA Biosciences, Inc. (IDYA): Can Its 35.7% Jump Turn into More Strength?

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IDEAYA Biosciences, Inc. (IDYA - Free Report) shares ended the last trading session 35.7% higher at $20.26. 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 7.6% gain over the past four weeks.

Share prices rose after IDEYA announced positive interim phase II clinical data evaluating darovasertib combined with crizotinib for treating patients with metastatic uveal melanoma (MUM). Treatment with the combination achieved 45% overall response rate at a median PFS of around 7 months in first-line MUM patients. Management also announced that it had received positive feedback from the FDA at a recent Type C meeting on the clinical design of a phase ll/lII study which will evaluate darovasertib plus crizotinib in first-line HLA-A2 negative MUM patients. This study is expected to start in second-quarter 2023.

This company is expected to post quarterly loss of $0.59 per share in its upcoming report, which represents a year-over-year change of -63.9%. Revenues are expected to be $14.33 million, up 26.2% 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 IDEAYA Biosciences, Inc., the consensus EPS estimate for the quarter has been revised 2.2% 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 IDYA 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 >>>>

IDEAYA Biosciences, Inc. is a member of the Zacks Medical - Biomedical and Genetics industry. One other stock in the same industry, Mirum Pharmaceuticals, Inc. (MIRM - Free Report) , finished the last trading session 0.2% higher at $27.31. MIRM has returned 18.6% over the past month.

Mirum Pharmaceuticals, Inc.'s consensus EPS estimate for the upcoming report has changed -3.6% over the past month to -$0.96. Compared to the company's year-ago EPS, this represents a change of +18%. Mirum Pharmaceuticals, Inc. currently boasts a Zacks Rank of #3 (Hold).

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