Strength Seen in Ambac (AMBC): Can Its 17.7% Jump Turn into More Strength?

Group 1 - Ambac Financial Group (AMBC) shares increased by 17.7% to close at $8.65, with trading volume significantly higher than usual [1] - The surge in Ambac shares is attributed to a scheduled hearing by the Wisconsin Office of the Commissioner of Insurance regarding the sale of Ambac Assurance Corporation, marking a key step in regulatory approval [2] - Ambac is expected to report a quarterly loss of $0.24 per share, a year-over-year decline of 233.3%, with revenues projected at $55.59 million, down 47.1% from the previous year [3] Group 2 - The consensus EPS estimate for Ambac has been revised 25% higher in the last 30 days, indicating a potential for price appreciation [4] - Ambac currently holds a Zacks Rank of 3 (Hold) within the Insurance - Property and Casualty industry [5] - RLI Corp., a peer in the same industry, has seen a consensus EPS estimate decrease of 0.4% over the past month, reflecting a 12.8% decline from the previous year [6]