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Qifu Technology, Inc. (QFIN) Surges 7.5%: Is This an Indication of Further Gains?

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Qifu Technology, Inc. (QFIN - Free Report) shares rallied 7.5% in the last trading session to close at $33.16. 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 20.6% gain over the past four weeks.

The stock is benefiting from significant improvements in the company’s asset quality and profitability. Business model upgradation, improvement in user engagement via differentiated strategies, and strengthened synergies between tech solutions and credit businesses strengthened its platform position.

This company is expected to post quarterly earnings of $1.40 per share in its upcoming report, which represents a year-over-year change of +45.8%. Revenues are expected to be $577.71 million, down 1.5% 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 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 #1 (Strong Buy). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Qifu Technology, Inc. is a member of the Zacks Technology Services industry. One other stock in the same industry, QXO, Inc. (QXO - Free Report) , finished the last trading session 2% lower at $14.35. QXO has returned 10.2% over the past month.

QXO INC's consensus EPS estimate for the upcoming report has changed -14.3% over the past month to $0.04. Compared to the company's year-ago EPS, this represents a change of +101.3%. QXO INC currently boasts a Zacks Rank of #3 (Hold).


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