CB Financial Services (CBFV) Stock Jumps 5.4%: Will It Continue to Soar?
CB Financial Services (CBFV) shares rallied 5.4% in the last trading session to close at $29.39. 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 13% gain over the past four weeks.
Shares of CBFV rallied for the second straight trading session and touched a new 52-week high of $29.39 on Friday. The recent 50 basis points interest rate cut by the Federal Reserve led to an increased optimism among investors towards banks. As rates go down, loan demand is expected to improve alongside lower deposit cost pressures. These indicate enhanced prospects for profitability in the near term. This drove the CBFV stock higher.
This holding company for Pennsylvania-based Community Bank is expected to post quarterly earnings of $0.52 per share in its upcoming report, which represents no change from the year-ago quarter. Revenues are expected to be $12.6 million, down 4% 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 CB Financial Services, 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 CBFV 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 >>>>
CB Financial Services is part of the Zacks Banks - Northeast industry. Merchants Bancorp (MBIN), another stock in the same industry, closed the last trading session 3.4% lower at $45.57. MBIN has returned 5.5% in the past month.
Merchants Bancorp's consensus EPS estimate for the upcoming report has changed -4.8% over the past month to $1.42. Compared to the company's year-ago EPS, this represents a change of -15.5%. Merchants Bancorp currently boasts a Zacks Rank of #4 (Sell).
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CB Financial Services, Inc. (CBFV) : Free Stock Analysis Report
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