Helios Technologies (HLIO) Surges 8.1%: Is This an Indication of Further Gains?

Helios Technologies, Inc. HLIO shares ended the last trading session 8.1% higher at $53.69. 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 8.6% loss over the past four weeks.Helios’ rally is primarily driven by optimism over strong momentum in industrial, and health & wellness end markets. Strong demand for the company’s quick-release coupling (QRC) products is also supporting its performance. Also, effective pricing actions, disciplined cost control and enhanced operational efficiency bode well for it.This maker of screw-in hydraulic cartridge valves and manifolds is expected to post quarterly earnings of $0.64 per share in its upcoming report, which represents a year-over-year change of +8.5%. Revenues are expected to be $212.1 million, up 9.1% 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 Helios Technologies, 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 HLIO 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 >>>>Helios Technologies is part of the Zacks Manufacturing - General Industrial industry. Gates Industrial GTES, another stock in the same industry, closed the last trading session 3.4% higher at $25.75. GTES has returned -1.4% in the past month.For Gates Industrial, the consensus EPS estimate for the upcoming report has changed +1.8% over the past month to $0.38. This represents a change of +15.2% from what the company reported a year ago. Gates Industrial currently has a Zacks Rank of #3 (Hold).Free Report: Profiting from the 2nd Wave of AI ExplosionThe next phase of the AI explosion is poised to create significant wealth for investors, especially those who get in early. It will add literally trillion of dollars to the economy and revolutionize nearly every part of our lives.Investors who bought shares like Nvidia at the right time have had a shot at huge gains.But the rocket ride in the "first wave" of AI stocks may soon come to an end. The sharp upward trajectory of these stocks will begin to level off, leaving exponential growth to a new wave of cutting-edge companies.Zacks' AI Boom 2.0: The Second Wave report reveals 4 under-the-radar companies that may soon be shining stars of AI’s next leap forward.Access AI Boom 2.0 now, absolutely free >>Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Helios Technologies, Inc (HLIO): Free Stock Analysis Report Gates Industrial Corporation PLC (GTES): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks Weiter zum vollständigen Artikel bei Zacks