The Advisory Board Company ABCO was a big mover last session, as the company saw its shares surged over 16% on the day. The upside was driven by the acquisition of a position equivalent to an 8.3% stake in Advisory Board by Elliott Associates, the activist hedge fund run by Paul Singer, which said that it believes the stock is significantly undervalued. The news led to far more shares changing hands than in a normal session resulting in solid volume. This continues the recent uptrend for the company as the stock is now up 30.2% in the past one-month time frame.
The company has seen eight negative revisions in the past one month, while its Zacks Consensus Estimate moved lower over the same time frame, suggesting there may be trouble down the road. So make sure to keep an eye on this stock going forward to see if this recent move higher can last.
The Advisory Board currently carries a Zacks Rank #5 (Strong Sell), while its Earnings ESP is 0.00%.
A better-ranked stock in the same space is Cancer Genetics, Inc. CGIX, sporting a Zacks Rank #1 (Strong Buy). You can see the complete list of today’s Zacks #1 Rank stocks here.
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