Yahoo Finance Bank of Marin (BMRC) Moves 5.5% Higher: Will This Strength Last?
Bank of Marin (BMRC) shares soared 5.5% in the last trading session to close at $17.40. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 11.3% gain over the past four weeks.
Shares of Bank of Marin rallied for the third straight trading session. With the Federal Reserve keeping an eye on employment reports and cooling inflation numbers, market participants are projecting interest rate cuts as soon as during the September FOMC meeting. Thus, for banks reeling under aggressive monetary tightening, this is a positive development. As the rates come down, so will banks’ funding costs. So, this turned the investors bullish on banking sector stocks, driving BMRC higher.
This bank holding company is expected to post quarterly earnings of $0.19 per share in its upcoming report, which represents a year-over-year change of -32.1%. Revenues are expected to be $25.85 million, down 3.8% 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 Bank of Marin, the consensus EPS estimate for the quarter has been revised 31.9% 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 BMRC 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 >>>>
Bank of Marin is a member of the Zacks Banks - West industry. One other stock in the same industry, Hanmi Financial (HAFC), finished the last trading session 1.9% higher at $16.49. HAFC has returned 6% over the past month.
Hanmi Financial's consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.48. Compared to the company's year-ago EPS, this represents a change of -28.4%. Hanmi Financial currently boasts a Zacks Rank of #3 (Hold).
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Bank of Marin Bancorp (BMRC) : Free Stock Analysis Report
Hanmi Financial Corporation (HAFC) : Free Stock Analysis Report
