Strength Seen in BioNTech (BNTX): Can Its 6.0% Jump Turn into More Strength?

BioNTech SE Sponsored ADR (BNTX) shares ended the last trading session 6% higher at $102.34. 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% loss over the past four weeks.

The sudden increase in the stock price can be attributed to the growing investor optimism about the company’s set of novel pipeline candidates being developed for treating various oncological indications and other serious diseases.

This company is expected to post quarterly loss of $2.33 per share in its upcoming report, which represents a year-over-year change of -64.1%. Revenues are expected to be $149.92 million, down 26.4% 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 BioNTech, the consensus EPS estimate for the quarter has been revised 13.8% higher over the last 30 days to the current level. And a positive trend in earnings estimate revision usually translates into price appreciation. So, make sure to keep an eye on BNTX 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 >>>>

BioNTech belongs to the Zacks Medical - Biomedical and Genetics industry. Another stock from the same industry, ProQR (PRQR), closed the last trading session 5.4% higher at $1.18. Over the past month, PRQR has returned -33.7%.

For ProQR

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

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