Amcor(US:AMCR) ZACKSยท2024-10-14 17:01Core Viewpoint - Amcor (AMCR) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimate Revisions - The Zacks Consensus Estimate for Amcor for the fiscal year ending June 2025 is projected at $0.75 per share, reflecting a 7.1% increase from the previous year's reported figure [5]. - Over the past three months, analysts have raised their earnings estimates for Amcor by 1.4% [5]. Impact of Institutional Investors - Changes in earnings estimates are closely correlated with stock price movements, largely due to institutional investors who adjust their valuations based on these estimates [3]. - An increase in earnings estimates typically leads to higher fair value calculations for stocks, prompting institutional buying or selling, which subsequently affects stock prices [3]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [4]. - The upgrade of Amcor to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating strong potential for market-beating returns in the near term [7].