Colliers International CIGI shares soared 4.2% in the last trading session to close at $139.72. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 8.3% loss over the past four weeks.
The increased investor optimism in the stock can be attributed to the favorable operating environment.
This commercial real estate services provider is expected to post quarterly earnings of $2.39 per share in its upcoming report, which represents a year-over-year change of +5.8%. Revenues are expected to be $1.6 billion, up 6.4% 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 Colliers International, the consensus EPS estimate for the quarter has been revised 2.2% 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 CIGI 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 >>>>
Colliers International is a member of the Zacks Real Estate - Operations industry. One other stock in the same industry, TPG RE Finance Trust (TRTX), finished the last trading session 0.7% higher at $8.95. TRTX has returned -1% over the past month.
For TPG RE Finance Trust, the consensus EPS estimate for the upcoming report has changed -1.9% over the past month to $0.27. This represents a change of +170% from what the company reported a year ago. TPG RE Finance Trust currently has a Zacks Rank of #5 (Strong Sell).
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Colliers International Group Inc. (CIGI): Free Stock Analysis Report TPG RE Finance Trust, Inc. (TRTX): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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