Verb Technology (VERB) Upgraded to Buy: What Does It Mean for the Stock?

Core Viewpoint - Verb Technology Company, Inc. (VERB) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][2]. Earnings Estimates and Stock Price Impact - The Zacks rating system is effective for individual investors as it focuses on earnings estimate revisions, which are strongly correlated with near-term stock price movements [2][3]. - Institutional investors rely on earnings estimates to determine the fair value of stocks, leading to significant buying or selling activity that affects stock prices [3]. Company Performance Indicators - Verb Technology's rising earnings estimates and the Zacks rating upgrade suggest an improvement in the company's underlying business, which is expected to drive the stock price higher [4]. - For the fiscal year ending December 2025, Verb Technology is projected to earn -$8.03 per share, reflecting a 58.8% change from the previous year [7]. Zacks Rank System Overview - 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]. - Verb Technology's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [9].