Shares of Pharming Group N.V. Sponsored ADR (PHAR) rose 14.7% during the last trading session to close at $15.98. This movement can be attributed to the significant trading volume, which saw more shares traded than in the regular session. This compares to a 9% rise in the stock over the past four weeks.

The sudden surge in share price is likely due to encouraging results from the company’s approved drugs, Ruconest and Joenja for the treatment of acute hereditary angioedema and activated pi3kδ syndrome, respectively. Last month, Pharming announced its second quarter results, in which both drugs showed strong uptake, a trend that is expected to continue in subsequent quarters.

The company is expected to report quarterly earnings of $0.13 per share, unchanged from the year-ago quarter. Revenue is expected to be $61.67 million, up 13.7% from the previous quarter.

Earnings and revenue growth expectations certainly provide a good indication of the stock’s potential strength, but empirical studies show that earnings estimate revision trends are highly correlated with near-term stock price movements.

For Pharming Group N.V. Sponsored ADR, the consensus earnings-per-share estimate for the quarter is unchanged over the past 30 days. And the stock price typically doesn’t continue to rise in the absence of any trend of earnings estimate revisions. So be sure to keep an eye on PHAR going forward to see if this recent bounce can translate into stronger forward momentum.