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Costamare (CMRE) Soars 9.0%: Is Further Upside Left in the Stock?

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Costamare (CMRE - Free Report) shares rallied 9% in the last trading session to close at $9.12. 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 17.6% loss over the past four weeks.

The stock gained following President Donald Trump's announcement that he would pause the "reciprocal" import taxes for 90 days. The President said he felt the pause was needed because "more than 75 countries" had contacted his administration to make trade deals. Shipping stocks were recently crushed by the tariff-induced economic uncertainties and the resultant reduction in consumer and corporate confidence. The shipping industry is responsible for transporting goods involved in world trade.

This shipping company is expected to post quarterly earnings of $0.48 per share in its upcoming report, which represents a year-over-year change of -23.8%. Revenues are expected to be $412.67 million, down 13.2% 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 Costamare, 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 CMRE 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 >>>>

Costamare is a member of the Zacks Transportation - Shipping industry. One other stock in the same industry, Navigator Holdings (NVGS - Free Report) , finished the last trading session 5.5% higher at $12.22. NVGS has returned -16% over the past month.

Navigator Holdings' consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.33. Compared to the company's year-ago EPS, this represents a change of +6.5%. Navigator Holdings currently boasts a Zacks Rank of #3 (Hold).


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