Qifu Technology, Inc. (QFIN) Soars 5.8%: Is Further Upside Left in the Stock?

Qifu Technology, Inc. (QFIN) shares ended the last trading session 5.8% higher at $14.67. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock’s 7.5% loss over the past four weeks.

The price surge can be correlated to the positive expectations of the company’s future performance driven by strong customer acquisition channels, high percentage of repeat customers, and the continued investment in Artificial Intelligence and large language models.

This company is expected to post quarterly earnings of $0.96 per share in its upcoming report, which represents a year-over-year change of +23.1%. Revenues are expected to be $597.09 million, up 5.4% 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 Qifu Technology, Inc., 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 QFIN going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks Rank #1 (Strong Buy) stocks here >>>>

Qifu Technology, Inc. is part of the Zacks Technology Services industry. Aptiv PLC (APTV), another stock in the same industry, closed the last trading session 2.1% higher at $81.64. APTV has returned -10.1% in the past month.

Aptiv PLC’s consensus EPS estimate for the upcoming report has changed -0.7% over the past month to $1.27. Compared to the company’s year-ago EPS, this represents no change. Aptiv PLC currently boasts a Zacks Rank of #4 (Sell).

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