Kopin KOPN shares soared 12.2% in the last trading session to close at $5.41. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 79.9% gain over the past four weeks.
Kopin is benefiting from increased defense spending, strategic partnerships, advancements in microdisplay technologies, automation-driven cost savings, and expanding opportunities in both U.S. and European defense and drone markets.
This maker of wearable technologies is expected to post quarterly loss of $0.01 per share in its upcoming report, which represents a year-over-year change of +50%. Revenues are expected to be $12.42 million, up 17.8% 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 Kopin, 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 KOPN 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 >>>>
Kopin is part of the Zacks Electronics - Miscellaneous Products industry. Electrovaya Inc. ELVA, another stock in the same industry, closed the last trading session 7.9% higher at $10.55. ELVA has returned 19.1% in the past month.
Electrovaya Inc.'s consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.01. Compared to the company's year-ago EPS, this represents a change of -50%. Electrovaya Inc. currently boasts a Zacks Rank of #3 (Hold).
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This article originally published on Zacks Investment Research (zacks.com).