Foghorn Therapeutics Inc. (FHTX) shares ended the last trading session 5.8% higher at $5.3. 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 37.6% gain over the past four weeks.
The sudden price rise can be attributed to growing investor confidence related to the company’s progress in the studies of its pipeline candidates, which are being developed for treating a wide range of cancer indications.
This company is expected to post quarterly loss of $0.23 per share in its upcoming report, which represents a year-over-year change of +17.9%. Revenues are expected to be $8.12 million, up 7.4% 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 Foghorn Therapeutics, 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 FHTX 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 >>>>
Foghorn Therapeutics is a member of the Zacks Medical – Biomedical and Genetics industry. One other stock in the same industry, Prime Medicine, Inc. (PRME), finished the last trading session 0.5% lower at $3.87. PRME has returned 23.9% over the past month.
For Prime Medicine, Inc., the consensus EPS estimate for the upcoming report has changed +0.6% over the past month to -$0.24. This represents a change of +41.5% from what the company reported a year ago. Prime Medicine, Inc. currently has a Zacks Rank of #3 (Hold).
Beyond Nvidia: AI’s Second Wave Is Here
The AI revolution has already minted millionaires. But the stocks everyone knows about aren’t likely to keep delivering the biggest profits. AI’s second wave is moving from infrastructure to implementation and these companies are at the forefront of this transition, positioned to become what Amazon and Google were to the internet era.
See Stocks 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
Foghorn Therapeutics Inc. (FHTX) : Free Stock Analysis Report
Prime Medicine, Inc. (PRME) : Free Stock Analysis Report
This article originally published on Zacks Investment Research (zacks.com).
Zacks Investment Research
