Agenus(AGEN) ZACKS·2025-01-20 18:01Core Viewpoint - Agenus (AGEN) has received an upgrade 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 Zacks Consensus Estimate, which reflects EPS estimates from sell-side analysts for the current and following years [1][2]. - Changes in a company's future earnings potential, as indicated by earnings estimate revisions, are strongly correlated with near-term stock price movements [4][6]. - Rising earnings estimates for Agenus indicate an improvement in the company's underlying business, which is expected to drive the stock price higher [5][10]. Zacks Rank System - The Zacks Rank stock-rating system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) to Zacks Rank 5 (Strong Sell) [7]. - Historically, Zacks Rank 1 stocks have generated an average annual return of +25% since 1988, demonstrating the effectiveness of the system [7]. Recent Performance of Agenus - For the fiscal year ending December 2024, Agenus is expected to earn -$12.84 per share, reflecting a year-over-year change of 7% [8]. - Over the past three months, the Zacks Consensus Estimate for Agenus has increased by 13.3%, indicating positive sentiment among analysts [8][10]. Conclusion - The upgrade of Agenus to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks based on estimate revisions, suggesting potential for market-beating returns in the near term [9][10].