Strength Seen in Vimeo (VMEO): Can Its 60.9% Jump Turn into More Strength?

Vimeo, Inc. (VMEO) shares ended the last trading session 60.9% higher at $7.74. 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 25.9% gain over the past four weeks.The stock recorded this price rise after the company announced that it entered a definitive agreement to be acquired by Bending Spoons, an Italian tech-conglomerate, for $1.4 billion.This company is expected to post quarterly earnings of $0.03 per share in its upcoming report, which represents a year-over-year change of -40%. Revenues are expected to be $106 million, up 1.4% 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 Vimeo, the consensus EPS estimate for the quarter has been revised 7.1% 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 VMEO going forward to see if this recent jump can turn into more strength down the road. The stock currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>Vimeo is a member of the Zacks Technology Services industry. One other stock in the same industry, Gen Digital (GEN), finished the last trading session 0.8% lower at $29.25. GEN has returned -7.5% over the past month.For Gen Digital, the consensus EPS estimate for the upcoming report has changed -2.3% over the past month to $0.61. This represents a change of +13% from what the company reported a year ago. Gen Digital currently has a Zacks Rank of #4 (Sell).7 Best Stocks for the Next 30 DaysJust released: Experts distill 7 elite stocks from the current list of 220 Zacks Rank #1 Strong Buys. They deem these tickers "Most Likely for Early Price Pops."Since 1988, the full list has beaten the market more than 2X over with an average gain of +23.5% per year. So be sure to give these hand picked 7 your immediate attention. See them now >>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 Vimeo, Inc. (VMEO): Free Stock Analysis Report Gen Digital Inc. (GEN): 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