What Makes Butterfly Network (BFLY) a New Buy Stock

Core Viewpoint - Butterfly Network, Inc. (BFLY) has been upgraded to a Zacks Rank 2 (Buy), indicating an upward trend in earnings estimates which is a significant factor influencing stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system is based on changes in earnings estimates, which are closely correlated with near-term stock price movements [4][6]. - Rising earnings estimates for Butterfly Network suggest an improvement in the company's underlying business, likely leading to an increase in stock price [5][10]. Zacks Rating System - The Zacks Rank stock-rating system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly Zacks Rank 1 stocks averaging a +25% annual return since 1988 [7][9]. - The upgrade of Butterfly Network 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 [10]. Earnings Estimate Revisions - Analysts have raised their earnings estimates for Butterfly Network, with the Zacks Consensus Estimate increasing by 7.5% over the past three months [8]. - The company is expected to earn -$0.25 per share for the fiscal year ending December 2025, showing no year-over-year change [8].