Yahoo Finance Teck Resources Ltd (TECK) Soars 7.4%: Is Further Upside Left in the Stock?
Teck Resources Ltd (TECK) shares soared 7.4% in the last trading session to close at $24.08. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 11.1% gain over the past four weeks.
Teck Resources’ share prices gained on the back of surge in copper prices. Copper futures have climbed to a 10-year high above the $4.5 per pound level, riding on the back of speedy vaccination rollouts. Moreover, trillions in dollars of economic stimulus lifted hopes of a robust global economic recovery and higher demand for metals. Further, pickup in manufacturing activity globally has worked in favor of the metal.
Price and Consensus
This company is expected to post quarterly earnings of $0.45 per share in its upcoming report, which represents a year-over-year change of +275%. Revenues are expected to be $2.07 billion, up 66.6% 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 Teck Resources Ltd, the consensus EPS estimate for the quarter has been revised marginally 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 TECK 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 >>>>
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
Teck Resources Ltd (TECK) : Free Stock Analysis Report
To read this article on Zacks.com click here.
Zacks Investment Research
