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Strength Seen in Cartesian Therapeutics, Inc. (RNAC): Can Its 8.2% Jump Turn into More Strength?

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Cartesian Therapeutics, Inc. (RNAC - Free Report) shares ended the last trading session 8.2% higher at $9.75. 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 4.6% loss over the past four weeks.

This rise in stock price is attributable to positive investor expectations around the company’s lead pipeline drug, Descartes-08. It recently initiated a late-stage study on the drug in myasthenia gravis. The candidate is also being evaluated in an ongoing mid-stage study in systemic lupus erythematosus, with preliminary data expected before this year’s end. It also intends to start a phase II pediatric basket study on Descartes-08 in select autoimmune indications by the end of 2025.

This company is expected to post quarterly loss of $0.81 per share in its upcoming report, which represents a year-over-year change of -17.4%. Revenues are expected to be $0.3 million, down 23.1% 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 Cartesian Therapeutics, Inc., 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 RNAC 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 >>>>

Cartesian Therapeutics, Inc. is part of the Zacks Medical - Biomedical and Genetics industry. Alvotech (ALVO - Free Report) , another stock in the same industry, closed the last trading session 1.5% lower at $8.59. ALVO has returned 10.7% in the past month.

Alvotech's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.08. Compared to the company's year-ago EPS, this represents a change of -57.9%. Alvotech currently boasts a Zacks Rank of #1 (Strong Buy).


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