P3 Health Partners (PIII) Stock Jumps 8.9%: Will It Continue to Soar?

P3 Health Partners Inc. PIII shares soared 8.9% in the last trading session to close at $9.79. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 5% gain over the past four weeks.

P3 Health Partners recorded a strong price rise on investors’ optimism surrounding the company’s fourth quarter 2024 financial results. The company reported fourth quarter revenue of $371 million, a 7% increase year over year. The company reaffirmed its 2025 revenue guidance of $1.35 billion to $1.5 billion and expects to achieve profitability this year. 

This company is expected to post quarterly loss of $5 per share in its upcoming report, which represents a year-over-year change of -3025%. Revenues are expected to be $363.75 million, down 6.4% 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 P3 Health Partners, the consensus EPS estimate for the quarter has been revised 14.3% lower over the last 30 days to the current level. And a negative trend in earnings estimate revisions doesn't usually translate into price appreciation. So, make sure to keep an eye on PIII going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

P3 Health Partners belongs to the Zacks Medical Info Systems industry. Another stock from the same industry, Pulmonx Corporation LUNG, closed the last trading session 9.1% lower at $4.92. Over the past month, LUNG has returned -30.6%.

For Pulmonx

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

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