One such stock that you may want to consider dropping is Amyris, Inc. (AMRS), which has witnessed a significant price decline in the past four weeks, and it has seen negative earnings estimate revisions for the current quarter and the current year. A Zacks Rank #4 (Sell) further confirms weakness in AMRS.
A key reason for this move has been the negative trend in earnings estimate revisions. For the full year, we have seen 1 estimate moving down in the past 30 days, compared with no upward revision. This trend has caused the consensus loss estimate to widen, going from a loss of 91 cents a share a month ago to its current level of loss of $1.23.
Also, for the current quarter, Amyris has seen 1 downward estimate revision versus no revision in the opposite direction, widening the consensus loss estimate to a loss of 20 cents a share from a loss of 8 cents over the past 30 days.
The stock also has seen some pretty dismal trading lately, as the share price has dropped 22.1% in the past month.
So it may not be a good decision to keep this stock in your portfolio anymore, at least if you don’t have a long time horizon to wait.
If you are still interested in the biofuels sector, you may instead consider a better-ranked stock including GreenHunter Resources, Inc. (GRH). Investors interested in the broader oil- energy sector can consider stocks like Alon USA Partners, LP (ALDW) and Cheniere Energy Partners LP. (CQP). While Alon USA Partners and Cheniere Energy Partners hold a Zacks Rank #1 (Strong Buy), GreenHunter Resources holds Zacks Rank #2 (Buy) may be better selections at this time.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report >>
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Be the first to comment