CACI International
CACI
shares rallied 5.2% in the last trading session to close at $236.71. 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 5.9% loss over the past four weeks.
The upswing in share price came after CACI announced that its board of directors has approved a new accelerated share repurchase program worth $500 million. The company expects to complete the buyback by the end of fourth-quarter 2021.
Price and Consensus
This defense contractor is expected to post quarterly earnings of $3.67 per share in its upcoming report, which represents a year-over-year change of +16.1%. Revenues are expected to be $1.58 billion, up 7.5% 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 CACI International, the consensus EPS estimate for the quarter has been revised 0.9% 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 CACI 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
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