10x Genomics(US:TXG) ZACKSยท2025-08-06 17:01Core Viewpoint - 10x Genomics (TXG) has been upgraded to a Zacks Rank 2 (Buy) due to an upward trend in earnings estimates, indicating a positive outlook for the company's stock price [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, which reflects the changing earnings picture of a company [1][2]. - A strong correlation exists between changes in earnings estimates and near-term stock price movements, making the Zacks rating system valuable for investors [4][6]. Institutional Investor Influence - Institutional investors utilize earnings estimates to determine the fair value of a company's shares, leading to significant stock price movements based on their buying or selling activities [4]. Business Improvement Indicators - Rising earnings estimates and the Zacks rating upgrade for 10x Genomics suggest an improvement in the company's underlying business, which could lead to increased stock prices [5][10]. Earnings Estimate Revisions - 10x Genomics is projected to earn -$1.12 per share for the fiscal year ending December 2025, with no year-over-year change; however, the Zacks Consensus Estimate has increased by 19.8% over the past three months [8]. 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 generated an average annual return of +25% since 1988 [7][9]. - The upgrade of 10x Genomics to a 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].