MBIA (MBI) Moves 10.3% Higher: Will This Strength Last?

MBIA (MBI) shares rallied 10.3% in the last trading session to close at $7.6. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 8.5% loss over the past four weeks.MBIA continues to benefit from lower losses and LAE associated with National's PREPA exposure. The company now remains focused on resolving National's PREPA exposure. Net investment income suffered largely due to a lower average invested asset base as a result of the dividend payments to National's ultimate parent.Favorable changes from net realized investment losses from sales of investments and revenues from consolidated VIEs drove topline for the company. This insurance and reinsurance company is expected to post quarterly loss of $0.05 per share in its upcoming report, which represents a year-over-year change of +89.6%. Revenues are expected to be $20 million, down 31% 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 MBIA, 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 MBI 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 >>>>MBIA is part of the Zacks Insurance - Multi line industry. Fidelis Insurance Holdings (FIHL), another stock in the same industry, closed the last trading session 0.8% higher at $19.27. FIHL has returned 3% in the past month.Fidelis Insurance's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.93. Compared to the company's year-ago EPS, this represents a change of +188.6%. Fidelis Insurance currently boasts a Zacks Rank of #4 (Sell).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 MBIA, Inc. (MBI): Free Stock Analysis Report Fidelis Insurance Holdings Limited (FIHL): 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