Hearte Enterprises(US:HTCR) ZACKSยท2025-08-21 17:01Core Viewpoint - HeartCore Enterprises, Inc. (HTCR) has been upgraded to a Zacks Rank 1 (Strong Buy) due to an upward trend in earnings estimates, which significantly influences stock prices [1][4]. Earnings Estimates and Ratings - The Zacks rating system is based on the Zacks Consensus Estimate, which reflects EPS estimates from sell-side analysts for the current and following years [2]. - Changes in earnings estimates are strongly correlated with near-term stock price movements, making the Zacks rating system valuable for investors [3][5]. Impact of Institutional Investors - Institutional investors utilize earnings estimates to calculate the fair value of stocks, leading to buying or selling actions that affect stock prices [5]. - Rising earnings estimates for HeartCore Enterprises indicate an improvement in the company's underlying business, likely resulting in higher stock prices [6]. Importance of Earnings Estimate Revisions - Empirical research shows a strong correlation between earnings estimate revisions and near-term stock movements, highlighting the importance of tracking these revisions for investment decisions [7]. - The Zacks Rank system effectively harnesses the power of earnings estimate revisions, classifying stocks into five groups based on four related factors [8]. Current Earnings Estimates for HeartCore Enterprises - HeartCore Enterprises is expected to earn -$0.07 per share for the fiscal year ending December 2025, with no year-over-year change [9]. - Over the past three months, the Zacks Consensus Estimate for HeartCore has increased by 77.4% [9]. Zacks Rating System Overview - The Zacks rating system maintains a balanced proportion of "buy" and "sell" ratings across over 4,000 stocks, with only the top 5% receiving a "Strong Buy" rating [10]. - The upgrade of HeartCore Enterprises to Zacks Rank 1 places it in the top 5% of Zacks-covered stocks, indicating a strong potential for near-term price increases [11].