Core Viewpoint - American Healthcare REIT (AHR) has been upgraded to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system emphasizes the correlation between changes in earnings estimates and near-term stock price movements, indicating that rising earnings estimates can lead to increased buying pressure and higher stock prices [4][5]. - For the fiscal year ending December 2024, American Healthcare REIT is expected to earn $1.37 per share, reflecting a -2.1% change from the previous year, but the Zacks Consensus Estimate has increased by 10.6% over the past three months [8]. Zacks Rating System - The Zacks Rank stock-rating system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of American Healthcare REIT to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [11].
What Makes American Healthcare REIT (AHR) a New Strong Buy Stock