Strength Seen in Yeti (YETI): Can Its 13.9% Jump Turn into More Strength?

Yeti (YETI) shares soared 13.9% in the last trading session to close at $30.90. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 20.1% loss over the past four weeks.

Following President Trump's announcement to suspend U.S. tariffs on most countries for 90 days, YETI Holdings shares soared, reflecting renewed investor optimism.

This maker of outdoor and recreational products is expected to post quarterly earnings of $0.28 per share in its upcoming report, which represents a year-over-year change of -17.7%. Revenues are expected to be $348.66 million, up 2.1% 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 Yeti, 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 YETI 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 >>>>

Yeti is a member of the Zacks Leisure and Recreation Products industry. One other stock in the same industry, OneWater Marine (ONEW), finished the last trading session 12% higher at $14.45. ONEW has returned -22.2% over the past month.

OneWater Marine's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.34. Compared to the company's year-ago EPS, this represents a change of -49.3%. OneWater Marine currently boasts a Zacks Rank of #3 (Hold).

Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report

This article originally published on Zacks Investment Research (zacks.com).

Zacks Investment Research