Amkor Technology AMKR shares ended the last trading session 7.7% higher at $33.75. The jump came on an impressive volume with a higher-than-average number of shares changing hands in the session. This compares to the stock's 6.6% loss over the past four weeks.

The upswing came after Needham analyst Charles Shi initiated coverage of the company with a Buy rating and a price target of $40.

This chip packaging and test services provider is expected to post quarterly earnings of $0.10 per share in its upcoming report, which represents a year-over-year change of -44.4%. Revenues are expected to be $1.35 billion, down 8.1% from the year-ago quarter.

While earnings and revenue growth expectations are important in evaluating the potential strength in a stock, empirical research shows a strong correlation between trends in earnings estimate revisions and near-term stock price movements.

For Amkor Technology, the consensus EPS estimate for the quarter has remained unchanged over the last 30 days. And a stock's price usually doesn't keep moving higher in the absence of any trend in earnings estimate revisions. So, make sure to keep an eye on AMKR going forward to see if this recent jump can turn into more strength down the road.

The stock currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>>

Amkor Technology is part of the Zacks Electronics - Semiconductors industry. Cirrus Logic CRUS, another stock in the same industry, closed the last trading session 2% higher at $93.56. CRUS has returned -1.1% in the past month.

For Cirrus Logic , the consensus EPS estimate for the upcoming report has remained unchanged over the past month at $0.67. This represents a change of -27.2% from what the company reported a year ago. Cirrus Logic currently has a Zacks Rank of #3 (Hold).

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