Vertiv Holdings Co. VRT shares ended the last trading session 9.3% higher at $264.35. 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 23.6% gain over the past four weeks.
Vertiv is benefiting from an extensive product portfolio, which spans thermal systems, liquid cooling, UPS, switchgear, busbar, and modular solutions, which is noteworthy.
This company is expected to post quarterly earnings of $1.00 per share in its upcoming report, which represents a year-over-year change of +56.3%. Revenues are expected to be $2.65 billion, up 30.1% 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 Vertiv, the consensus EPS estimate for the quarter has been revised 2.6% 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 VRT 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 >>>>
Vertiv belongs to the Zacks Computers - IT Services industry. Another stock from the same industry, ServiceNow NOW, closed the last trading session 1.9% lower at $121.93. Over the past month, NOW has returned 23.4%.
ServiceNow's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.95. Compared to the company's year-ago EPS, this represents a change of +17.3%. ServiceNow currently boasts a Zacks Rank of #3 (Hold).
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Vertiv Holdings Co. (VRT): Free Stock Analysis Report ServiceNow, Inc. (NOW): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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