Palomar (PLMR) shares ended the last trading session 9.2% higher at $143.13. 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 0.1% loss over the past four weeks.
PLMR's shares surged in response to the broader market rally after President Trump announced a 90-day pause of reciprocal tariffs for most countries.
This insurance holding company is expected to post quarterly earnings of $1.61 per share in its upcoming report, which represents a year-over-year change of +47.7%. Revenues are expected to be $174.84 million, up 51.3% 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 Palomar, 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 PLMR 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 >>>>
Palomar is part of the Zacks Insurance - Property and Casualty industry. ProAssurance (PRA), another stock in the same industry, closed the last trading session 0.5% higher at $23.17. PRA has returned 52.6% in the past month.
ProAssurance's consensus EPS estimate for the upcoming report has changed +0.3% over the past month to $0.19. Compared to the company's year-ago EPS, this represents a change of +137.5%. ProAssurance currently boasts a Zacks Rank of #1 (Strong Buy).
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Palomar Holdings, Inc. (PLMR): Free Stock Analysis Report ProAssurance Corporation (PRA): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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