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All You Need to Know About Customers Bancorp (CUBI) Rating Upgrade to Buy
CUBICustomers Bancorp(CUBI) ZACKS·2025-02-21 18:00

Core Viewpoint - Customers Bancorp (CUBI) 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][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are closely correlated with stock price movements, particularly due to institutional investors adjusting their valuations based on these estimates [4][6]. - An increase in earnings estimates typically leads to higher fair value for a stock, prompting institutional investors to buy or sell, thus affecting stock prices [4]. Company Performance Indicators - Customers Bancorp is projected to earn $6.45 per share for the fiscal year ending December 2025, reflecting a year-over-year increase of 15.2% [8]. - Over the past three months, the Zacks Consensus Estimate for Customers Bancorp has risen by 3.1%, indicating a positive trend in earnings expectations [8]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with only the top 20% receiving a 'Strong Buy' or 'Buy' rating, suggesting superior earnings estimate revisions [9][10]. - The upgrade of Customers Bancorp to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating potential for market-beating returns in the near term [10].