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Abacus Life, Inc. (ABL) Stock Jumps 20.3%: Will It Continue to Soar?
ABLAbacus Life(ABL) ZACKS·2024-07-22 15:10

Company Overview - Abacus Life, Inc. (ABL) shares increased by 20.3% to close at 10.08,followinganotabletradingvolume,contrastingwitha14.110.08, following a notable trading volume, contrasting with a 14.1% loss over the past four weeks [1] - The company expects second quarter revenues between 28 million and 30million,significantlyhigherthanthepreviousyear′s30 million, significantly higher than the previous year's 11 million [1] - Abacus anticipates adjusted EBITDA of 15millionto15 million to 17 million and net income between 0millionand0 million and 1 million [1] Recent Developments - Abacus Life has agreed to acquire Carlisle Management Company, which will add 2billioninassetsundermanagement,enhancingitspositionasaglobalalternativeassetmanager[2]−Thecompanyisshiftingtowardsdirect−to−consumerdistribution,movingawayfromhigher−costintermediaries,whichisexpectedtosupportgrowth[2]−Abacusoperatesinamarketwithsubstantialgrowthpotentialandhasopportunitiesforincreasedmarketpenetration[2]EarningsExpectations−TheconsensusEPSestimateforAbacusLifefortheupcomingquarteris2 billion in assets under management, enhancing its position as a global alternative asset manager [2] - The company is shifting towards direct-to-consumer distribution, moving away from higher-cost intermediaries, which is expected to support growth [2] - Abacus operates in a market with substantial growth potential and has opportunities for increased market penetration [2] Earnings Expectations - The consensus EPS estimate for Abacus Life for the upcoming quarter is 0.12, reflecting a year-over-year decline of 7.7% [2] - Revenue expectations for the upcoming report are 22.82million,representinga100.522.82 million, representing a 100.5% increase from the same quarter last year [2] Market Trends - Trends in earnings estimate revisions are correlated with stock price movements, and the consensus EPS estimate for Abacus has remained unchanged over the last 30 days [3] - The stock currently holds a Zacks Rank of 3 (Hold), indicating a neutral outlook [3] Industry Context - Abacus Life is part of the Zacks Insurance - Life Insurance industry, which includes other companies like Brighthouse Financial (BHF) [3] - BHF's consensus EPS estimate has increased by 0.3% to 4.36, showing a year-over-year change of 5.6% [4]