Kingstone Companies, Inc (KINS) Soars 11.5%: Is Further Upside Left in the Stock?

Kingstone Companies, Inc (KINS) shares soared 11.5% in the last trading session to close at $8.61. The move was backed by solid volume with far more shares changing hands than in a normal session. This compares to the stock's 6.5% gain over the past four weeks.

Kingstone Companies exited commercial liability line to considerably de-risk the business by terminating the 25% personal lines quota share.

The company is authorized to buyback $10 million worth shares through Mar 31, 2023. The initiation of the share buyback program reflects its solid capital position.

The company remains focused to lower expenses by a full point in 2021 and its Kingstone 2.0, initiatives to modernize the company remains on track.

Price and Consensus

This company is expected to post quarterly loss of $0.20 per share in its upcoming report, which represents a year-over-year change of -566.7%. Revenues are expected to be $35.25 million, up 32.4% 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 Kingstone Companies, Inc, the consensus EPS estimate for the quarter has been revised 18.8% 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 KINS 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 >>>>

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