Core Viewpoint - Meridian Bank (MRBK) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive trend in earnings estimates which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [3][5]. - Institutional investors utilize earnings estimates to determine the fair value of stocks, leading to buying or selling actions that affect stock prices [3]. Meridian Bank's Earnings Outlook - The upgrade reflects an improvement in Meridian Bank's underlying business, with rising earnings estimates expected to drive the stock price higher [4]. - For the fiscal year ending December 2025, Meridian Bank is projected to earn $2.07 per share, representing a 42.8% increase from the previous year [7]. - Over the past three months, the Zacks Consensus Estimate for Meridian Bank has risen by 13.4% [7]. 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 averaged a +25% annual return since 1988 [6]. - The upgrade to Zacks Rank 2 places Meridian Bank in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [9].
All You Need to Know About Meridian Bank (MRBK) Rating Upgrade to Buy