Virtu Financial(VIRT) ZACKS·2024-09-20 17:00Core Viewpoint - Virtu Financial (VIRT) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][2]. Earnings Estimates and Stock Price Impact - The change in earnings estimates is a powerful factor affecting near-term stock price movements, as institutional investors rely on these estimates to determine fair value [3]. - An increase in earnings estimates typically leads to institutional buying, which drives stock prices higher [3]. Company Performance Indicators - For the fiscal year ending December 2024, Virtu Financial is projected to earn $2.96 per share, reflecting a 60.9% increase from the previous year [7]. - Over the past three months, the Zacks Consensus Estimate for Virtu Financial has risen by 18.8%, indicating a positive trend in earnings expectations [7]. Zacks Rating System - The Zacks Rank system classifies stocks based on earnings estimate revisions, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [6]. - The upgrade to Zacks Rank 2 places Virtu Financial in the top 20% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [9].