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GDS Holdings (GDS) shares soared 18.3% in the last trading session to close at $25.68. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 9.7% loss over the past four weeks.
The stock is benefiting from the continued ramp-up of our data centers and business growth, as GDS expands capacity to meet rising demand, strengthening its market position.
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 +62.9%. Revenues are expected to be $429.72 million, up 19.3% 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 GDS Holdings, 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 GDS 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 >>>>
GDS Holdings is a member of the Zacks Technology Services industry. One other stock in the same industry, Outbrain Inc. (OB), finished the last trading session 3% lower at $5.83. OB has returned -16.1% over the past month.
For Outbrain , the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.12. This represents a change of +33.3% from what the company reported a year ago. Outbrain currently has a Zacks Rank of #3 (Hold).
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GDS Holdings (GDS) : Free Stock Analysis Report
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