Nice (NICE) Upgraded to Buy: Here's What You Should Know

Core Viewpoint - Nice (NICE) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on the consensus measure of EPS estimates from sell-side analysts, reflecting the company's changing earnings picture [1][2]. - Changes in future earnings potential, as indicated by earnings estimate revisions, are strongly correlated with near-term stock price movements, particularly influenced by institutional investors [4][6]. Company Performance and Outlook - The upgrade for Nice indicates an improvement in the company's underlying business, which is expected to lead to increased stock prices as investors respond positively to this trend [5][11]. - For the fiscal year ending December 2024, Nice is projected to earn $10.83 per share, representing a 23.2% increase from the previous year, with a 1% increase in the Zacks Consensus Estimate over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have generated an average annual return of +25% since 1988 [7][9]. - The upgrade to Zacks Rank 2 places Nice in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10][11].