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Tabula Rasa Healthcare (TRHC) Moves 6.3% Higher: Will This Strength Last?

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Tabula Rasa Healthcare shares rallied 6.3% in the last trading session to close at $8.25. 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 42.7% gain over the past four weeks.

Tabula Rasa HealthCare scored a strong price increase, driven by growing investor’s optimism surrounding the company’s recent announcement that Mountain Empire PACE (Program of All-Inclusive Care for the Elderly) in rural Virginia has expanded their existing partnership with the company.

Tabula Rasa Healthcare’s comprehensive pharmacy services are part of a larger suite of solutions that includes full-service pharmacy benefit management, which supports Mountain Empire PACE in optimizing reporting, compliance and business management. Meanwhile, the company delivered better-than-expected earnings and revenues in the first quarter of 2023, further boosting confidence in the stock.


This developer of health care software is expected to post quarterly loss of $0.14 per share in its upcoming report, which represents a year-over-year change of +56.3%. Revenues are expected to be $88.82 million, up 22.3% 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 Tabula Rasa Healthcare, 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 TRHC 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 >>>>

Tabula Rasa Healthcare is part of the Zacks Medical Info Systems industry. Schrodinger, Inc. (SDGR - Free Report) , another stock in the same industry, closed the last trading session 4.9% higher at $49.92. SDGR has returned 35.7% in the past month.

For Schrodinger, Inc., the consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.42. This represents a change of +32.3% from what the company reported a year ago. Schrodinger, Inc. currently has a Zacks Rank of #3 (Hold).

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