Back to top

Image: Bigstock

Strength Seen in Lantheus Holdings (LNTH): Can Its 6.4% Jump Turn into More Strength?

Read MoreHide Full Article

Lantheus Holdings (LNTH - Free Report) shares ended the last trading session 6.4% higher at $66.36. 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 6.5% loss over the past four weeks.

Shares of the company seems to correct after falling more than 20% since July-end. Investors must remian cautious before entering into a trade in this company.

This diagnostic imaging company is expected to post quarterly earnings of $1.32 per share in its upcoming report, which represents a year-over-year change of +33.3%. Revenues are expected to be $314.68 million, up 31.5% 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 Lantheus 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 LNTH 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 >>>>

Lantheus Holdings belongs to the Zacks Medical - Products industry. Another stock from the same industry, Stryker (SYK - Free Report) , closed the last trading session 0.8% lower at $295. Over the past month, SYK has returned 5.6%.

For Stryker, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $2.44. This represents a change of +15.1% from what the company reported a year ago. Stryker currently has a Zacks Rank of #2 (Buy).

See More Zacks Research for These Tickers

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

Stryker Corporation (SYK) - free report >>

Lantheus Holdings, Inc. (LNTH) - free report >>

Published in