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What Makes Phillips Edison & Company (PECO) a New Buy Stock

Core Viewpoint - Phillips Edison & Company, Inc. (PECO) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which are crucial for stock price movements [1][4][6]. Earnings Estimates and Ratings - The Zacks rating system is primarily driven by changes in a company's earnings picture, with the Zacks Consensus Estimate tracking EPS estimates from sell-side analysts [2][5]. - The recent upgrade reflects an improvement in Phillips Edison & Company's earnings outlook, which is expected to lead to increased buying pressure and a rise in stock price [4][6]. Impact of Institutional Investors - Changes in earnings estimates significantly influence stock price movements, as institutional investors use these estimates to determine the fair value of shares, leading to buying or selling actions that affect stock prices [5][6]. Historical Performance of Zacks Ratings - The Zacks Rank stock-rating system has a strong track record, with Zacks Rank 1 stocks generating an average annual return of +25% since 1988, highlighting the effectiveness of tracking earnings estimate revisions for investment decisions [8][10]. Current Earnings Estimates for Phillips Edison & Company - For the fiscal year ending December 2025, Phillips Edison & Company is expected to earn $2.58 per share, with a 0.9% increase in the Zacks Consensus Estimate over the past three months [9][11]. Positioning within Zacks Ratings - The upgrade to Zacks Rank 2 places Phillips Edison & Company in the top 20% of Zacks-covered stocks based on estimate revisions, suggesting potential for market-beating returns in the near term [10][11].