Strength Seen in ATI (ATI): Can Its 5.3% Jump Turn into More Strength?
ATI (ATI) shares soared 5.3% in the last trading session to close at $104.73. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 1.5% gain over the past four weeks.The rally appears to reflect optimism over ATI’s strong momentum in the aerospace and defense sectors, which is driving its top line and margins. ATI is also expected to benefit from the recent appointment of James Robert Foster as the Senior Vice President, Finance and Chief Financial Officer, who brings in operational depth and financial discipline to drive growth.This maker of steel and specialty metals is expected to post quarterly earnings of $0.88 per share in its upcoming report, which represents a year-over-year change of +11.4%. Revenues are expected to be $1.2 billion, up 2.6% 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 ATI, the consensus EPS estimate for the quarter has been revised 0.7% 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 ATI 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 >>>>ATI is part of the Zacks Aerospace - Defense Equipment industry. Moog (MOG.A), another stock in the same industry, closed the last trading session 2% higher at $239.2. MOG.A has returned 15.5% in the past month.For Moog, the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $2.31. This represents a change of +29.8% from what the company reported a year ago. Moog 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 ATI Inc. (ATI): Free Stock Analysis Report Moog Inc. (MOG.A): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).Zacks Investment ResearchWeiter zum vollständigen Artikel bei Zacks
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