Floor & Dcor (FND) Surges 11.9%: Is This an Indication of Further Gains?

Floor & Dcor (FND) shares soared 11.9% in the last trading session to close at $78.20. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 22.2% loss over the past four weeks.

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

This company is expected to post quarterly earnings of $0.45 per share in its upcoming report, which represents a year-over-year change of -2.2%. Revenues are expected to be $1.16 billion, up 6.1% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Floor & Dcor, 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 FND 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 >>>>

Floor & Dcor is part of the Zacks Retail - Home Furnishings industry. Haverty Furniture (HVT), another stock in the same industry, closed the last trading session 6.9% higher at $18.68. HVT has returned -21% in the past month.

Haverty Furniture's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.16. Compared to the company's year-ago EPS, this represents a change of +14.3%. Haverty Furniture currently boasts a Zacks Rank of #4 (Sell).

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

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