Farmers National Banc(US:FMNB) ZACKS·2025-08-26 17:01Core Viewpoint - Farmers National Banc (FMNB) has been upgraded to a Zacks Rank 1 (Strong Buy), indicating a positive outlook on its earnings estimates, which is a significant factor influencing stock prices [1][2]. Earnings Estimates and Stock Price Movement - The Zacks rating system highlights the strong correlation between changes in earnings estimates and near-term stock price movements, making it a valuable tool for investors [2][3]. - Institutional investors play a role in this relationship, as they adjust their valuations based on earnings estimates, leading to stock price fluctuations [3]. Business Improvement Indicators - The upgrade in earnings estimates for Farmers National suggests an improvement in the company's underlying business, which could lead to an increase in stock price as investors respond positively [4]. Importance of Earnings Estimate Revisions - Research indicates a strong correlation between earnings estimate revisions and stock movements, emphasizing the importance of tracking these revisions for investment decisions [5]. - The Zacks Rank system effectively utilizes earnings estimate revisions to classify stocks, providing a structured approach to investment [6]. Specific Earnings Estimates for Farmers National - Farmers National is projected to earn $1.59 per share for the fiscal year ending December 2025, with no year-over-year change expected [7]. - Over the past three months, the Zacks Consensus Estimate for Farmers National has increased by 6%, reflecting analysts' positive sentiment [7]. Zacks Rating System Overview - The Zacks rating system maintains a balanced distribution of ratings, with only the top 5% of stocks receiving a "Strong Buy" rating, indicating superior earnings estimate revisions [8][9]. - The upgrade of Farmers National to a Zacks Rank 1 places it among the top 5% of stocks covered by Zacks, suggesting potential for market-beating returns in the near term [9].