Bank of Hawaii (BOH) Upgraded to Strong Buy: Here's Why

Core Viewpoint - Bank of Hawaii (BOH) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Movement - The Zacks rating system is based on changes in earnings estimates, which are strongly correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling pressure on the stock [4]. Recent Performance and Projections - Bank of Hawaii is projected to earn $4.31 per share for the fiscal year ending December 2025, reflecting a year-over-year increase of 22.1% [8]. - Over the past three months, the Zacks Consensus Estimate for Bank of Hawaii has risen by 12.3% [8]. Zacks Rating System - The Zacks Rank 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 Bank of Hawaii to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, suggesting potential for market-beating returns in the near term [10].