QAD QADA shares ended the final buying and selling session 19.4% increased at $87.05. The leap got here on a powerful quantity with a higher-than-average variety of shares altering arms within the session. This compares to the inventory’s 2% acquire over the previous 4 weeks.
The upswing got here after the cloud manufacturing and provide chain options supplier revealed that it has inked an settlement to get acquired by personal fairness funding agency Thoma Bravo in an all-cash transaction price $2 billion.
Per the settlement, Thoma Bravo pays $87.50 for every QAD’s share. The agreed fairness worth displays a premium of 20% to QAD inventory’s Jun 25 closing worth of $72.90.
This enterprise software program developer is anticipated to put up quarterly earnings of $0.26 per share in its upcoming report, which represents a year-over-year change of +44.4%. Revenues are anticipated to be $81.68 million, up 10.3% from the year-ago quarter.
Earnings and income progress expectations definitely give sense of the potential energy in a inventory, however empirical analysis reveals that traits in earnings estimate revisions are strongly correlated with near-term inventory worth actions.
For QAD, the consensus EPS estimate for the quarter has been revised 81.8% decrease during the last 30 days to the present stage. And a adverse pattern in earnings estimate revisions does not normally translate into worth appreciation. So, ensure to keep watch over QADA going ahead to see if this current leap can flip into extra energy down the street.
The inventory presently carries a Zacks Rank 2 (Purchase). You’ll be able to see the entire record of in the present day’s Zacks Rank #1 (Sturdy Purchase) shares right here >>>>
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