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Strength Seen in Stratasys (SSYS): Can Its 9.9% Jump Turn into More Strength?

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Stratasys (SSYS - Free Report) shares ended the last trading session 9.9% higher at $7.70. 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 13.9% loss over the past four weeks.

Stratasys shares are benefiting from an increase in 3D printed equipment demand, strategic partnerships and expansion of product offerings. Organizational restructuring and cost-minimizing strategies are also tailwinds for SSYS stock.

This maker of 3D printers is expected to post quarterly loss of $0.02 per share in its upcoming report, which represents a year-over-year change of -150%. Revenues are expected to be $144.45 million, down 10.9% 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 Stratasys, 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 SSYS 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 >>>>

Stratasys belongs to the Zacks Computer - Peripheral Equipment industry. Another stock from the same industry, Immersion (IMMR - Free Report) , closed the last trading session 2% higher at $8.83. Over the past month, IMMR has returned -3.2%.

Immersion's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.15. Compared to the company's year-ago EPS, this represents a change of +87.5%. Immersion currently boasts a Zacks Rank of #3 (Hold).


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