Grupo Cibest CIB shares soared 5.5% in the last trading session to close at $44.97. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 2.5% gain over the past four weeks.
The increase in the share price of CIB comes as there is a halt in the geopolitical tensions in the Middle East currently following President Trumps intervention in the matter. As the uncertainty lessens slightly, it has instilled investor confidence back in the global stock markets, which probably drove the CIB stock higher.
This financial holding company is expected to post quarterly earnings of $1.63 per share in its upcoming report, which represents a year-over-year change of +13.2%. Revenues are expected to be $1.83 billion, up 3% 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 Grupo Cibest, 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 CIB 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 >>>>
Grupo Cibest belongs to the Zacks Banks - Foreign industry. Another stock from the same industry, KBC Group SA KBCSY, closed the last trading session 2.3% higher at $50.18. Over the past month, KBCSY has returned 0.2%.
For KBC Group, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $1.34. This represents a change of +10.7% from what the company reported a year ago. KBC Group currently has a Zacks Rank of #3 (Hold).
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BanColombia S.A. (CIB): Free Stock Analysis Report KBC Group SA (KBCSY): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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