Target Hospitality TH shares soared 20.4% in the last trading session to close at $7.26. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 10% gain over the past four weeks.
Sustained momentum in customer demand for Target's premium service offerings, supported by strengthening commercial activity and economic demand have been boosting investors’ confidence.
This company is expected to post quarterly earnings of $0.01 per share in its upcoming report, which represents a year-over-year change of +107.1%. Revenues are expected to be $79.77 million, up 75.4% 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 Target Hospitality, 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 TH going forward to see if this recent jump can turn into more strength down the road.
The stock currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>
Target Hospitality is part of the Zacks Leisure and Recreation Services industry. Madison Square Garden Entertainment (MSGE), another stock in the same industry, closed the last trading session 0.9% higher at $81.98. MSGE has returned -0.3% in the past month.
Madison Square Garden Entertainment's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.36. Compared to the company's year-ago EPS, this represents a change of +109.8%. Madison Square Garden Entertainment currently boasts a Zacks Rank of #3 (Hold).
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Target Hospitality Corp. (TH): Free Stock Analysis Report
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The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
