Back to top

Image: Bigstock

Strength Seen in MiX Telematics Limited (MIXT): Can Its 5.4% Jump Turn into More Strength?

Read MoreHide Full Article

MiX Telematics Limited (MIXT - Free Report) shares rallied 5.4% in the last trading session to close at $6.83. 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 5.1% loss over the past four weeks.

The upswing in share price can be attributed to Mix Telematics' expanding customer base.

This company is expected to post quarterly earnings of $0.14 per share in its upcoming report, which represents a year-over-year change of +75%. Revenues are expected to be $35.7 million, up 1.8% 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 MiX Telematics Limited, 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 MIXT 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 >>>>

MiX Telematics Limited belongs to the Zacks Internet - Software industry. Another stock from the same industry, Pinterest (PINS - Free Report) , closed the last trading session 4% higher at $28.62. Over the past month, PINS has returned 14.2%.

Pinterest's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.12. Compared to the company's year-ago EPS, this represents a change of +9.1%. Pinterest currently boasts a Zacks Rank of #2 (Buy).

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

MiX Telematics Limited (MIXT) - free report >>

Pinterest, Inc. (PINS) - free report >>

Published in