Northeast Community Bancorp (NECB) shares rallied 6.6% in the last trading session to close at $27.30. This move can be attributable to notable volume with a higher number of shares being traded than in a typical session. This compares to the stock's 17% gain over the past four weeks.

Shares of Northeast Community Bancorp rallied for the third consecutive trading session and touched a new 52-week of $27.42 on Friday. The banking sector is in the spotlight driven by the clarity on the Federal Reserve’s monetary policy. With the central bank cutting interest rates, loan demand will improve. Further, deposit/funding costs are expected to come down gradually. These favorable developments are leading to positive investor sentiments. Hence, this drove the NECB stock higher.

This bank holding company is expected to post quarterly earnings of $0.91 per share in its upcoming report, which represents a year-over-year change of +13.8%. Revenues are expected to be $26.53 million, up 4.7% from the year-ago quarter.

Earnings and revenue growth expectations certainly give a good sense of the potential strength in a stock, but empirical research shows that trends in earnings estimate revisions are strongly correlated with near-term stock price movements.

For Northeast Community Bancorp, the consensus EPS estimate for the quarter has been revised 29.9% 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 NECB 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 >>>>

Northeast Community Bancorp is a member of the Zacks Banks - Northeast industry. One other stock in the same industry, Valley National (VLY), finished the last trading session 4.4% higher at $9.25. VLY has returned 8.6% over the past month.

Valley National's consensus EPS estimate for the upcoming report has changed -0.9% over the past month to $0.18. Compared to the company's year-ago EPS, this represents a change of -30.8%. Valley National currently boasts a Zacks Rank of #3 (Hold).

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Northeast Community Bancorp Inc. (NECB) : Free Stock Analysis Report

Valley National Bancorp (VLY) : Free Stock Analysis Report