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Strength Seen in Option Care (OPCH): Can Its 32.7% Jump Turn into More Strength?

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Option Care (OPCH - Free Report) shares ended the last trading session 32.7% higher at $31. 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 3.5% loss over the past four weeks.

The sharp rise in Option Care Health (OPCH - Free Report) shares can be attributed to the announcement of its acquisition by CD&R and McKesson for $32.05 per share in cash. The offer represents a roughly 37% premium to Option Care Health’s October 5, 2026 closing price, providing investors with an immediate valuation uplift and reducing near-term uncertainty around the company’s standalone outlook. The transaction, which values OPCH at approximately $5.8 billion in enterprise value, also underscores the strategic appeal of its home and alternate-site infusion care platform.

This infusion and home care services company is expected to post quarterly earnings of $0.48 per share in its upcoming report, which represents a year-over-year change of +6.7%. Revenues are expected to be $1.47 billion, up 2.4% 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 Option Care, 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 OPCH going forward to see if this recent jump can turn into more strength down the road.

 

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Option Care belongs to the Zacks Medical - Outpatient and Home Healthcare industry. Another stock from the same industry, DaVita HealthCare (DVA - Free Report) , closed the last trading session 0.9% higher at $180.4. Over the past month, DVA has returned -2.9%.

For DaVita HealthCare, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $3.78. This represents a change of +50.6% from what the company reported a year ago. DaVita HealthCare currently has a Zacks Rank of #3 (Hold).

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