In This Article:
Nevro (NVRO) shares ended the last trading session 13.9% higher at $5.72. 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 43.8% gain over the past four weeks.
The recent surge in Nevro shares can be attributed to the announcement of Globus Medical acquiring Nevro in an-all cash transaction for a valuation of approximately $250 million. The transaction is expected to close late in the second quarter of 2025. This acquisition can be highly beneficial for NVRO as it combines its expertise in innovative pain management solutions with Globus Medical’s broader resources and technological capabilities. This synergy may accelerate product development, expand market reach, and provide patients with more comprehensive treatment options.
This maker of an electrical implant that treats leg and back pain is expected to post quarterly loss of $0.79 per share in its upcoming report, which represents a year-over-year change of -426.7%. Revenues are expected to be $105.65 million, down 9.1% 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 Nevro, the consensus EPS estimate for the quarter has been revised 1.2% 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 NVRO 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 >>>>
Nevro is part of the Zacks Medical - Instruments industry. OrthoPediatrics (KIDS), another stock in the same industry, closed the last trading session 3.9% lower at $23.71. KIDS has returned 2% in the past month.
OrthoPediatrics' consensus EPS estimate for the upcoming report has remained unchanged over the past month at -$0.22. Compared to the company's year-ago EPS, this represents a change of +4.4%. OrthoPediatrics currently boasts a Zacks Rank of #3 (Hold).
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