Century (CENX) Upgraded to Buy: Here's Why

Core Viewpoint - Century Aluminum (CENX) 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 consensus measure of EPS estimates from sell-side analysts, reflecting the changing earnings picture of a company [1][2]. - Changes in future earnings potential, as indicated by earnings estimate revisions, are strongly correlated with near-term stock price movements [4][6]. - Rising earnings estimates for Century indicate an improvement in the company's underlying business, which is expected to positively impact its stock price [5][10]. Earnings Estimate Revisions for Century - For the fiscal year ending December 2025, Century is projected to earn $3.80 per share, representing a 15.5% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for Century has increased by 37.7%, indicating a positive trend in earnings expectations [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with Zacks Rank 1 (Strong Buy) stocks historically generating an average annual return of +25% since 1988 [7]. - The upgrade of Century to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a strong potential for market-beating returns in the near term [9][10].